Government of India
Ministry of Finance
(Department of Revenue), New Delhi
Subject : Export under claim of rebate under Rule 12(1) Procedure-regarding
1.1 Attention of Collectors is invited to Board”s telex F.No.209/18/93 dated 26.9.94 and 27.9.94 communicating the issue of fresh rules and notifications relating to exports.
1.2 The new Central Excise Rule 12(1) has been framed to grant rebate of duty paid on export of duty paid goods. The new rule 12(1) (a) corresponds to the earlier rule 12 of the Central Excise Rules. The fresh Notification No. 41/94 has been issued under the new Rule 12(1)(a) which permits grant of rebate on all excisable goods except mineral oil and goods supplied as ship stores. Under the Notification No 41/94, the facility of rebate is available on export of goods to all countries other than Nepal and Bhutan.
2.1 The salient features of the new Rules and Notifications issued there-under are briefly summarized below :
2.2 Self Removal Procedure
Now the exporters are being allowed to take clearances for export without the presence and examination of cargo by the Central Excise Officer.
2.3 AR4 and AR4A are merged
The existing AR4 and AR4A forms have been merged. Now only one single type of AR4 is required to be filed by exporters in all the situations namely :
– Export clearances on their own without examination by the Central Excise Officer whether under claim for rebate or under bond.
– Export clearances under Central Excise seal whether under claim for rebate or under bond. A copy of the AR4 is enclosed.
2.4 Option for claiming rebate either from Maritime Collector or Jurisdictional Assistant Collector of Central Excise.
(a) The number of Maritime Collectors has been reduced to seven.
(b) Where the export is from any of the port, airport or post office falling within the jurisdiction of Maritime Collector of Central Excise, option is available to file claim of rebate before such Maritime Collector of Central Excise or the Jurisdictional Assistant Collector of Central Excise. For this purpose, exporters are required to clearly indicate their option on AR4 along with complete postal address of the authority from whom the rebate shall be claimed.
3.1 The following consolidated instructions are issued with regard to grant of rebate of Central Excise duty paid on the goods exported to countries other than Nepal and Bhutan. The earlier instructions, on the subject which are inconsistent with these instructions, the new rules and notifications issued thereunder may be treated as withdrawn.
4.0 The removal of goods under claim of rebate from a factory or warehouse without examination by the Central Excise Officers.
4.1 The exporters are now allowed to remove the goods for export on their own without getting the goods examined by the Central Excise Officers. The AR4 in such cases would be prepared in sixtuplicate, giving all particulars and declarations. The exporter shall deliver triplicate, quadruplicate, quintuplicate and sixtuplicate copies of AR4, to the Superintendent of the Central Excise having jurisdiction over the factory or the warehouse, within twenty four hours of the removal of the consignment and would retain the original and duplicate copies for presenting along with the consignment to the Customs Officer at the point of export.
4.2 The jurisdictional Superintendent of Central Excise shall examine the information contained in AR4 and verify the facts of payment of duty and other certificates / declarations made by the exporter. After he is satisfied that the information contained in AR4 is true, he will sign at appropriate places in the four copies of AR4 submit to him and put his stamp with his name and designation below his signature. He would then dispose off the triplicate, quadruplicate, quintuplicate and sixtuplicate copies of AR4 as under :
To the rebate sanctioning authority viz. Maritime Collector of Central Excise or the Assistant Collector of Central Excise declared by the exporter on AR4. This copy, on the request of exporter may be sealed and handed over to he exporter / his authorized agent for presenting to the rebate sanctioning authority.
To the Chief Accounts Officer in the Collectorate Head Quarters.
iii) Office copy to be retained by the Central Excise Officer
To be given to the exporter
5.0 Procedure for exports under Central Excise Seal
5.1 Where the exporter desires the sealing of the goods by the Central Excise Officers so that the export goods may not be examined by the Customs officers at the port/airport of shipment, he should present an AR4 application in sixtuplicate to the Superintendent of Central Excise having jurisdiction over factory/warehouse at least twenty four hours before the intended removal of export goods from the factory / warehouse. However, where, exporter is unable to give 24 hours advance notice should normally be accepted. All such relaxations shall be reported to the Assistant Collector of Central Excise for ex post facto approval. Collectors of Central Excise may delegate powers under rule 187 to the Assistant Collectors of Central Excise.
5.2 The Superintendent of Central Excise may depute an Inspector of Central Excise or may himself go for sealing and examination of the export consignment. Where the AR4 indicates that the export is in discharge of an export obligation under a Quantity-based Advance Licence or a Value-based Advance Licence issued under the Duty Exemption Scheme, in such cases the consignment should invariably be examined and sealed by the Superintendent of Central Excise himself.
5.3 The Central Excise Officer examining the consignment would draw samples wherever necessary in triplicate. He would hand over two sets of samples, duly sealed, to the exporter or his authorized agent, for delivering to Customs Officers at the point of export. He would retain the third set for his records.
5.4The export consignment should be carefully examined vis-a-vis description of goods, their value and other particulars / declarations on the AR4. The Central Excise Officer shall verify the facts of payment of duty and other certificates / declarations made by the exporter. After he is satisfied that the information contained in the AR4 is true he would allow the clearances and also sign all the six copies of the AR4 at appropriate places and put his stamp with his name and designation below his signature.
The copies of AR4 would be disposed of as under :
|Original and Duplicate||To the exporter for presenting to Customs Officer at the point of export along with the export consignment|
|Triplicate||To the rebate sanctioning authority i.e. Maritime Collector of Central Excise or the jurisdictional Assistant Collector of Central Excise as declared by the exporter on the AR4. The Central Officer may hand over this copy under sealed cover on exporter”s request.|
|Quadruplicate||To the Chief Accounts Officer at this Collectorate Head Quarters|
|Quadruplicate||To be retained for records|
6.1 The packages in which the goods are to be exported would be legibly marked in ink or oil color or in such other durable manner with progressive number commencing with No. 1 for each calendar year and with the exporter”s name.
AR4 Form :
7.1 The different copies of AR4 forms should be of different colours indicated below :
It will be sufficient if the copies of AR4 contain a color band on the top or right hand corner in accordance with above color scheme.
7.2 Exporters should be advised to take adequate care in filling up the AR4 proforma. The rebate sanctioning authority along with its complete postal address should be clearly mentioned at appropriate place in the AR4. The applicable portion should be carefully retained to give following certificates / declaration.
“We hereby certify that the above mentioned goods have been manufactured.
(a) availing facility/without availing facility of Modvat credit under Rule 57A of Central Excise Rules, 1944.
(b) availing facility/without availing facility under Rule (1)(b) of Central Excise Rules, 1944.
(c) availing facility/without availing facility under Rule 13 (1)(b) of Central Excise Rules, 1944.
We hereby declare that the export is in discharge of the export obligation under the quantity based Advance Licence/Value based Advance Licence / Under Claim of Duty Drawback under Customs & Central Excise Duties Drawback Rules 1971.”
Disposal of AR4 by the Customs Officer at the point of Exports
8.1 The original, duplicate and sixtuplicate copies of the AR4 shall be presented by the exporter / his authorized agent to the Customs Officer at the point of export along with the goods, shipping Bill/Bill of export and samples sealed by the Central Excise Officer. The export consignment shall be checked by the Customs officer to see whether the seals are intact and the marks and number tally and if found in order he may allow exports after ensuring that the no. of AR4 has been indicated in the Shipping Bill or the Bill of Export as the case may be. The samples shall be dealt in accordance with instructions / standing orders of the Collector of Customs or the Central Board of Excise and Customs. After the goods have been shipped the proper officer of Customs would make necessary endorsements in the original, duplicate and Sixtuplicate copies of the AR4 at appropriate places and put his stamp with his name and designation below his signature. The copies of AR4 shall be disposed off by him in the following manner :
|Original and Sixtuplicate||To be handed over to the exporter. Original shall be used for filling rebate claim. Sixtuplicate copy shall be used for drawback / DEEC endorsement.|
|Duplicate||To be sent to Rebate Sanctioning authority declared on AR4. This copy on a request of exporter may be sealed and handed over to the exporter/his authorized agent for presenting to the rebate sanctioning authority|
Filing and sanction of rebate claim :
9.1 With Maritime Collector of Central Excise : where the export of the goods is from any of the ports, airports or post office falling within the jurisdiction of Maritime Collector of Central Excise of Bombay, Calcutta, Madras, Paradeep, Visakhapatnam, Cochin, Kandla and the exporter had opted to claim rebate from Maritime Collector of Central Excise by declaring the same on AR4, he will file the claim with the proof of due exportation within time limit prescribed under sec. 11B of the Central Excise and Salt Act, 1944 i.e. six months from the date of export, in prescribed form along with original copy of the AR4 duly endorsed by the Customs Officer certifying the export of consignment [and the duplicate copy handed over to him by the Customs officer in a sealed cover] to the Maritime Collector of Central Excise who shall compare to original AR4 received from the exporter with the triplicate copy of the AR4 received from the Central Excise Officer and the duplicate AR4 received from the Customs Officer. The Maritime Collector after due scrutiny and verification of the said AR4s, will sanction the rebate claim in whole or in part.
9.2 WIth Assistant Collector, Central Excise having jurisdiction of the factory : Where the exporter wishes to claim rebate of excise duty on goods exported from the Assistant Collector having jurisdiction over the factory or warehouse from where the goods removed for export , he will file the claim of rebate within six months from the date of export of the consignment [and the duplicate copy handed over to him by the customs officer in a sealed cover]. The Assistant Collector of Central Excise, would verify and compare the original copy of AR4 with the duplicate copy of AR4 received from the Customs Officer and with the triplicate copy of AR4 received from Superintendent, Central Excise Range and after satisfying himself that the claim is in order will sanction the rebate either in whole or in part.
9.3 Documents to be filed for claiming rebate: Following documents should be filed for claiming rebate-
– Application in prescribed form Annexure 65
– Original copy of AR4
– Duplicate copy of AR4 in sealed cover received from Customs Officer [optional]
– Duly attested copy of Bill of Lading
– Duly attested copy of Shipping Bill (Export Promotion Copy)
– Disclaimer Certificate [in case where claimant in other than exporter]
9.4 Time limit for disposal: The rebate sanctining authority should point out deficiency, if any, in the claim within 15 days of lodging the same and ask the exporter to rectify the same within 15 days. Queries/ deficiencies shall be pointed out at one of and piecemeal queries should be avoided. The claim of rebate of duty on export of goods should be disposed of within a period of two months.
Supplementary Rebate Claim:
10.1 The Supplementary Rebate Claim, if any, should be filed within the stipulated time provided under section 11B of the Central Excises and Salt Act, 1944.
Relaxation by Collector of Central Excise
11.1 Relaxation to be granted by the Collector: The Collector is empowered to condone/ relax any condition relating to rebate of excise duty on goods exported for reasons to be recorded in writing, if he is satisfied that the goods have actually been exported. However, the Collector is not empowered to condone delay in filing of the rebate claim filed after the expiration of six months from the date of export, the time limit prescribed under section 11B of the Central Excise Act. It may be noted that this power has to be exercised by the Collector and not the Assistant Collector who may be acting as Maritime Collector or the Jurisdictional Assistant Collector.
12.1 The Rebate of duty will not be allowed if-
(i) the market price of the goods exported is less than the amount of rebate.
(ii) The amount of the “Rebate” of duty admissible is less than Rs. 500/-
13.1 Exports by persons other than manufacturers: Where exports are by merchant exporters, a disclaimer certificate in favour of the exporter should be taken on each copy of AR4.
13.2 Numbering of AR4: Each exporter shall give a running serial starting from 1 for each calendar year to every AR4 filed by him.
14.1 Maritime Collectors: Collector of Central Excise shall in the Trade Notice clearly specify the postal Address of the authority designated as Maritime Collector who will sanction the rebate claim and admit proof of exports in cases of exports under bond.
14.2 Collectors may having regard to the nature of goods or trade practice relax any of the conditions regarding markings on the export packages recording the reasons. Necessary trade notice may be issued for this purpose.
14.3 Collectors may also issue detailed trade notice/ s and standing order/s in this regard. Copies of all Trade Notices and Standing Orders may be endorsed to Board and DGCCIE.
– 14.4 Kindly acknowledge receipt of this letter.
Deputy Secretary to the Government of India
Central Excise Series No. 60A
|Central Excise Series No. 60A||AR4 No………….|
|Division ………….. Address …………….||Triplicate- Pink|
|Quintuplicate – Blue|
Application for removal of excisable goods for export by
[Air/ Sea/ Port/ Land]*
Superintendent of Central Excise
…………………….. (Full Postal Address)
1. Particulars of Asst. Collector of Central Excise / Maritime Collector of Central Excise* from whom rebate shall be claimed/ with whom bond in executed* and his complete postal address……………………..
2. I/We……….. of …………. propose to export the under mentioned consignment to ………….. (Country of destination) [by Air/ Sea/Land/ Parcel Post)* under claim for rebate/ bond*.
No. & Date of Invoice under which duty was paid / No. and date of bond executed under
Amount of Rebate claimed
|Rs. P||Rs. P||Rs. P|
3. We hereby certify that the above mentioned goods have been manufacture
(a) availing facility/ without availing facility* Modvat credit under Rule 57A of Central Excise Rules, 1944
(b) availing facility/ without availing facility* under Rule 12(1)(b) of Central Excise Rules, 1944
(c) availing facility/ without availing facility* under Rule 13(1)(b) of Central Excise Rules, 1944
4. We hereby declare that the export is in discharge of the export obligation under a Quantity based Advance Licence/Value based Advance Licence/ under Claim of Duty Drawback under Customs & Central Excise Duties Drawback Rules, 1971*.
5. I/ we hereby declare that the above particulars are true and correctly stated.
Time of Removal …………………………..
Certification by the Central Excise Officer
1. Certified that duty has been paid on the goods described over leaf by debit entry in the Personal Ledger Account No. ………../ RG23 A (Pt.II) No. ………./ RG 23B (Pt.II) No. ……….. against Excise Invoice No. …………….. dated ……………. / that the owner has entered into B1/B16 bond No. ……… under Rule 13/14 of Central Excise Rules, 1944 with the …………………………………………….
2. Certified that I have opened and examined the packages No. …………… and found that the particulars stated and the description of goods given overleaf read with the invoice and the packing list (if any) correct [and that all the packages have been stuffed in the container No. ………….. with Marks …………] and the same has been sealed with Central Excise Seal/ One Time Seal (OTS) No…….
3. I have verified with the records, the certificate of the owner given at Sl. No. 3 overleaf regarding non availment of benefits under rule 57A, 12(1)(a), 13(1)(b) and found it to be true.
4. Certified that I have drawn three representative samples from the consignment and have handed over two sets thereof duly sealed to the exporter/ his authorized representative.
|(Name is Block Letters)||(Name in Block Letters)|
|Superintendent of Central Excise||Inspector of Central Excise|
Certification by the Customs Officer
Certified that the consignment was shipped under my supervision under Shipping Bill No…… dated ……… by S.S./ Flt. No. …….. which left on ………… the day of ………… 19 ……
Certified that the above mentioned consignment has been duly identified and has passed the land frontier today at______ in its original condition under Bill of Exports No……… dt……..
Note: The customs officer shall send the duplicate to the address given at Sl. No. 1 overleaf and hand over original and Sixtuplicate to the exporter.
Exports by Post
Certified that the consignment described overleaf has been despatched by foreign post to ………… on ……… day of …… 19 ..
Rebate Sanction Order
(On Original, Duplicate and Triplicate)
Refund Order No. ………….. dated ……………. Rebate of Rs……….. (Rupees ……………) sanctioned vide cheque No. …………. dated ……………