Central Excise - Exemption to Articles of goldsmiths' - Condition Imposed
AS per Sl. No. 192 of the Table to Notification No. 12/2012-CE, dated 17.03.2012,
(I) Articles of Goldsmiths' or silversmiths' wares of precious metal or of metal clad with precious metal, not bearing a brand name;
(II) Strips, wires, sheets, plates and foils of gold, used in the manufacture of articles of jewellery and parts thereof;
(III) Precious and semi-precious stones, synthetic stones and pearls.
are exempted unconditionally.
Now a new condition is stipulated for (I) and (II) above as:
If the said excisable goods are manufactured from inputs or capital goods or by utilising input services on which appropriate duty of excise leviable under the First Schedule to the Excise Tariff Act or additional duty of customs under section 3 of the Customs Tariff Act, 1975 (51 of 1975) or service tax under section 66B of the Finance Act, 1994 (32 of 1994) has been paid and no credit of such excise duty or additional duty of customs on inputs or capital goods or service tax on input services has been taken by the manufacturer of such goods (and not the buyer of such goods), under rule 3 or rule 13 of the CENVAT Credit Rules, 2004.
Explanation.- For the purposes of this condition appropriate duty or appropriate additional duty or appropriate service tax includes nil duty or nil service tax or concessional duty or concessional service tax, whether or not read with any relevant exemption notification for the time being in force.
This notification has a complicated purpose which I am not explaining in this longish DDT, suffice it to say, the purpose seems to be to impose a CVD of 12.5% on the import of gold articles
Notification No. , Dated: September 08 2016