Bank Guarantee For Export Promotion Schemes - Relaxation on Penal Clause - CBEC Clarifies - DDT's Mistake
IN yesterday's DDT, it was reported as:
Board has now clarified that offences other than the following would result in denial of the benefit of exemption from bank guarantee.
1. Cases of duty evasion involving mis-declaration / mis-statement/collusion / willful suppression / fraudulent intent whether or not extended period for issue of Show Cause Notice (SCN) has been invoked.
2. Cases of mis-declaration and/or clandestine/unauthorized removal of excisable / import / export goods warranting confiscation of said goods.
3. Cases of mis-declaration / mis-statement / collusion / willful suppression / fraudulent intent aimed at availing CENVAT credit, rebate, refund, drawback, benefits under export promotion/reward schemes.
4. Cases wherein Customs/Excise duties and Service Tax has been collected but not deposited with the exchequer.
5. Cases of non-registration with the Department with intent to evade payment of duty / tax.
The sentence, “Board has now clarified that offences other than the following would result in denial of the benefit of exemption from bank guarantee.” Should have been, “Board has now clarified that offences other than the following would not result in denial of the benefit of exemption from bank guarantee.” In effect the exemption from bank guarantees would be denied only in cases of offences listed above and in other cases (like technical offences), the exemption will not be denied. The crucial ‘not' made all the difference. DDT deeply regrets the error and thanks the alert Netizen who pointed the mistake.