I am directed say that for effective administration and implementation of the SEZ Scheme, the Development Commissioners of the Central Government owned SEZs were declared as Zonal Development
I am directed to say that representations have been received in the Department seeking clarification on procedure for removal of goods to Bonded Warehouse under Rule 46(13) of SEZ Rules, 2006. The matter has been examined in consultation with Directorate General of Export Promotion, Department of Revenue and the following procedure is prescribed for removal of goods to bonded warehouse:
Section 206C of the Income-tax Act, 1961 – Collection of tax at source – Profits and gains from business of trading in alcoholic liquor, forest produce, scrap, etc. – Instruction regarding issue of certificate of lower collection of tax at source u/s 206C(9).
I am directed to invite your attention to the landmark judgement of the CESTAT Larger Bench in the case of Vandana Global Ltd. V/s CCE, Raipur [2010-TIOL-624-CESTAT-DEL-LB] delivered on 30.04.10, on admissibility of credit on capital goods and inputs and to state that the Tribunal has ruled that ‘capital goods’ defined in the CENVAT Credit Rules, in the context of providing credit of duty paid, have to be excisable goods.
As per the procedure agreed, Department of Commerce takes responsibility of having consultation with all concerned Department of the Government of India to create consensus among them and send its recommendation alongwith the no objection of different Departments of the Government of India to MHA for final approval. Ministry of Home Affairs would get the President on the Bill. Development Commissioner of SEZ are advised to send a copy of the communication to the nodal Department of the respective State Government.
Necessary action may immediately be taken to withdraw such facility, if any, granted by any field formation under your jurisdiction. It is also requested to advise such assesses to avail the option of rebate under Rule 18 of Central Excise Rules for supply of duty-free fuel to foreign bound aircraft.
I am directed to say that in a meeting held in Department of Commerce with FTWZ Developers doubts were raised as to whether units in FTWZ can hold goods on behalf of foreign buyer, DTA supplier and buyer. 2. It is clarified that FTWZ units can hold goods on behalf of foreign supplier and buyer and DTA supplier and buyer as well, subject to fulfillment of provisions made in Rule 18(5) of SEZ Rules, 2006.
CBN Instruction No. 4 Users who have assigned role to access Assessee Information System (AIS) module can now access CBN Application for Permanent Account Number (PAN) query. This facility can be accessed from menu option ‘CBN’ provided in AIS module main menu. They no longer have a need to login CBN server directly for PAN query. However, present facility has not been withdrawn and
Government has been receiving requests for shifting of units from one SEZ to another SEZ due to various reasons. These requests were considered but could not be acted upon as there are no specific provisions under the SEZ Rules for these shifts and also there are no rule prohibiting the shifts, with the consolidation of SEZs,
Section 197 of the Income-tax Act, 1961 – Deduction of tax at source – Certificate of lower deduction or non-deduction of tax at source – Instructions for issue of certificate u/s 197 mandatorily through ITD system.
