Central Excise - Exemption to ethanol produced from molasses - Withdrawn
BY Notification No. 32/2015-CE dated 04.06.2015, Government had exempted Ethanol produced from molasses generated from cane crushed in the sugar season 2015-16 i.e. 1st October, 2015 onwards, for supply to the public sector oil marketing companies, namely, Indian Oil Corporation Ltd., Hindustan Petroleum Corporation Ltd. or Bharat Petroleum Corporation Ltd., for the purposes of blending with petrol.
If this ethanol is exempted, it would attract the vice of Rule 6 of the Cenvat Credit Rules and the complicated procedure has to be followed.
The Government discovered this reality four months later and by Notification No. , dated 07.10.2015, amended the Cenvat Credit Rules to add
Ethanol produced from molasses generated from cane crushed in the sugar season 2015-16 i.e. 1st October, 2015 onwards, for supply to the public sector oil marketing companies, namely, Indian Oil Corporation Ltd., Hindustan Petroleum Corporation Ltd. or Bharat Petroleum Corporation Ltd., for the purposes of blending with petrol, in terms of the provisions of S.No.40A of the Table in notification No.12/2012-Central Excise, dated the 17th March, 2012, number G.S.R. 163(E), dated that 17th March, 2012.
To the excluded list of Rule 6(6).
Now, the exemption to ethanol is withdrawn and consequently the reference to that in Rule 6(6) is deleted.
Also please see Duty on Ethanol - a discriminatory approach & .
Notification No. , Dated: August 10 2016
Notification No. , Dated August 10 2016