Central Excise - Inputs for Biodiesel Exempted
GOVERNMENT has exempted RBD Palm Stearin, Methanol and Sodium Methoxide for use in the manufacture of alkyl esters of long chain fatty acids obtained from vegetable oils, commonly known as bio-diesels.
Specified biodiesel is already exempt from central excise duty. However, its inputs namely, RBD Palm Stearin, Methanol and Sodium Methoxide are chargeable to central excise duty leading to CENVAT credit accumulation. Central excise duty is now exempted on RBD Palm Stearin, Methanol and Sodium Methoxide used in the manufacture of such biodiesel subject to actual user condition for a period upto 31.03.2016.
Notification No. , Dated: October 19, 2015