Excise bonding is levied in the cases where goods manufactured are not liable to pay Excise Duty. It is the undertaking given by Manufacturer or Merchant that this goods are meant for Exports only and will not be utilised or sold in the local market allowing the exporters to sell the goods in International market at competitive rates.
In case of Merchant Exporter the requirements are:
- B-1 Bond on 100 Rupee Stamp Paper duly Notarized + 2 Zerox
- RCMC Original + Self attested copy
- IEC Origininal + Self attested copy + Onlin Copy of IEC from dgft.mumbai.nic.in
- Profile in appendix 2 of Exporter.
- Proof of address (Rent Receipt)
- Original PAN Card + Self attested Copy.
- Self Attested Copy of LC/ Overseas Buyer
- Declaration that no cases of Central Excise or Customs are pending agains the exporter.
- Authority letter to the person submitting and collecting the bond. The authorised person should be the employee of the firm.
- List of Propreiters/ Partners / Directors along with their photographs pasted on a letterhead and countersigned by the individual.
- Bank Account No. Certified by the manager with his seal.
- Balance Sheet / FOB sales certified by CA
- Declaration of pending liabilities
If Merchant exporter is not the member of any Export Promotion Council than he is liable to give the bank guarantee upto 25 % of the excise amount, else the payment receipt of the Export Promotion Council is enough.
Note:
- Excise Bonding has to be filed in the excise office near the exporters office or Port from which it has to exported.
- Excise duty is only applicable in case where turnover of the company is more than 1.5 crore.
- If Excise duty is not applicable than only sales tax / VAT is levied.
Details mentioned above are derived from the personal experience during filing of excise bonding for ATOMOS.
