TIOL-DDT 954 · Friday, 19 September 2008 · story 2 of 5

PROCEDURE FOR REIMBURSEMENT OF CENTRAL SALES TAX (CST) ON SUPPLIES MADE TO EOUs, EHTP AND STP

As per para 2 of the Appendix-14-I-I, the following conditions are to be fulfilled.

(a) The supplies from DTA to EOU/ EHTP/TP units must be utilised by them for production of goods meant for export and/or utilised for export production and may include raw material, components, consumables, packing materials, capital goods, spares, material handling equipment etc. on which CST has been actually paid by the EOU/EHTP/STP.

(b) While dealing with the application for reimbursement of CST, the Development Commissioner or the designated officer of EHTP/STP shall see, inter alia, that the purchases are essential for the production of goods meant for export and/or to be utilised for export production by the units.

Now these paras are amended to read as,

“2(a) The supplies from DTA to EOU/EHTP/STP units must be utilized by them for production of goods/services and may include raw material, components, consumables, packing materials, capital goods, spares, material handling equipment etc. on which CST has been actually paid by the EOU/EHTP/STP.”

“2(b) While dealing with the application for reimbursement of CST, the Development Commissioner or the designated officer of the EHTP/STP shall see, inter alia , that the purchases are essential for the production of goods/services by the units.”

Basically, services are now included. The same is included also in the undertaking to be given.

DGFT Public Notice No. 81 (RE-2008)/2004-2009 Dated: September 16, 2008