Income Tax raids the premises of several Top Notch Builders in all-India Operations-Amrapali and Paras Buildtech also on hit list of Income Tax-Cash of Rs 22 Crore recovered SC rules stock exchange card is license eligible for depreciation under Section 32 Partner of Luthra & Luthra Vineet Aneja resigns-Partner of amarchand Mangaldas Himanshu Narayan also resigns SC rules MAT companies are not subject to 80HHC(1B) CBDT extends the time limit for filing ITR-V forms relating to income tax returns filed electronically for Assessment Year 2009-10 up to 31st December 2010 or 120 days from the date of filing, whichever is later-ITR-V is accepted only at the Centralized Processing Center of the Income Tax Department at Bengalore by ordinary or speed post Major Setback for tax avoidance on merger & acquisition deals-HC rules a mere difficulty in compliance or in enforcement is not a ground to avoid observance-the transaction in question had a significant nexus with India-The essence of the transaction was a change in the controlling interest in HEL which constituted a source of income in India-The transaction between the parties covered within its sweep, diverse rights and entitlements-The Petitioner by the diverse agreements that it entered into has a nexus with Indian jurisdiction-the proceedings which have been initiated by the Income Tax Authorities cannot be held to lack jurisdiction-AIT-2010-381-HC concessional rate of duty on electrical energy removed from a SEZ into DTA or non processing areas of SEZ-Customs Tariff Notification No.91 where an assessee has paid duty of excise on wires drawn from wire rods, falling under Chapter 72, the CENVAT credit taken or utilized, of the duty or tax or cess paid on inputs , capital goods and input services used in the making of the said final product, shall not be required to be reversed-Central Excise Non-Tariff Notification No.28 when once the competent authority viz., the Assistant Commissioner was satisfied with the factum of export that the final products made by the appellant, his failure to exercise the discretionary power vested in him in the absence of any other valid reasons cannot be sustained-the appellant is entitled for rebate applied for-AIT-2010-377-HC Courier Regulations for the manual and the electronic mode-Customs Circular No.33 Outdoor catering service provided by a NGO, under Mid-Day Meal Scheme, exempted from service tax-Service Tax Notification No.47 Even if the goods belong to same entry, manufacture does take place if new identifiable/marketable goods known in market emerge due to operation conducted-the process of ironing applied to the stiched brassieres prior to their packing was a process incidental to the completion of the brassieres as a manufactured product-process of purification and filtration being incidental or ancillary to the manufacture

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Circular No. 828/5/2006-CX

F.No. 268/4/2005-CX-8

Government of India

Ministry of Finance

Department of Revenue

Central Board of Excise & Customs

To 20th April, 2006

All Chief Commissioners of Central Excise

All Chief Commissioners of Customs and Central Excise

All Commissioners of Central Excise

All Commissioners of Central Excise (Appeals)

webmaster@allindiantaxes.com

Subject: Simplified procedure for sanction of refund of unutilised credit/rebate claims in cases of export.

Sir/Madam,

It may be recalled that notification no. 11/2002 Central Excise (NT) dated 1^st March, 2002 was issued under Rule 5 of the CENVAT Credit Rules, 2002 prescribing safeguards, conditions and limitations for allowing refund of unutilised input credit to manufacturers. The said rule has been substituted by a new Rule 5 vide notification no. 4/2006 Central Excise (NT) dated 14^th March, 2006 to enable refund of unutilised input/input service credit to manufacturers and service providers. Consequently notification no. 11/2002 Central Excise (NT) dated 1^st March, 2002 has been superceded by notification no. 5/2006 Central Excise (NT) dated 14^th March, 2006.

2. Further, based on various representations received from trade to draw up a scheme aimed at facilitating quick and regular refund of service tax/excise duty to exporters, the Economic Advisory Council to the Prime Minister has recommended that as an immediate reform, Department of Revenue should draw up a scheme to provide for making adhoc interim refunds, say 80 percent of the amount due, based on the refund/rebate claims filed by the exporters, subject to firm settlement within a short time frame from the date of filing such claims. Accepting the recommendations, the Board has decided that the following simplified procedure for sanction of refund of unutilised credit under rule 5 of the Cenvat Credit Rules, 2004/rebate to exporters may be adopted:-

3. The claim for refund of such unutilised credit/rebate will be filed with the Assistant Commissioner of Central Excise or the Deputy Commissioner of Central Excise having jurisdiction over the factory of manufacturer or warehouse or EOU or the respective Maritime Commissioner as the case may be. The refund/rebate sanctioning authority shall immediately scrutinize the refund/rebate claim and check whether the refund/rebate application is complete and is covered by all the requisite documents. Once the preliminary scrutiny is completed, 80% of the rebate claimed will be sanctioned within 15 days of (a) filing of the rebate claim; or (b) filing of document evidencing payment of duty including the periodical return, which ever is later, provided all the documents filed along with the claim are, prima-facie, found to be in order. In case of refund of unutilised credit under rule 5 of the CENVAT Credit Rules, 2004, 80% of the refund amount will be sanctioned within 15 days of filing of the claim, provided the requirements of Notification no. 5/2006 C.E.(NT) dated 14.3.2006 are complied with. The balance amount shall be paid after completion of the verification and other formalities in the prescribed manner within 45 days from the date of filing of the claim. Pre/Post Audit will be completed as per the norms laid down in this regard vide Circular no. 809/6/2005 CX dated 1.03.2005. Subsequently, if any discrepancy is noticed at the time of scrutiny of the periodical returns, necessary action for recovery of erroneous refund would be initiated in accordance with Rules.

4. This simplified procedure for sanction of refund/rebate is applicable only to the following categories of exporters having good track record i.e. exporters against whom no offence case has been booked by the Department during the preceeding three years or/and where no recovery of short levy is pending on date.

(a) All exporters who have an export turnover of Rs. 5 crores in the current year or the preceding financial year.

(b) Public Sector Undertakings including PSUs of the State Government.

(d) Manufacturer-exporters registered with Central Excise who have been exporting during the previous two financial years and have minimum export of Rs. 1 crore or more during the preceding financial year.

(e) Manufacturer-exporters registered with Central Excise who has paid duty of Rs. 1 crore or more during the preceding financial year.

(f) All Export Oriented Units.

5. Field formations may be informed suitably.

6. Receipt of the Circular may please be acknowledged.

7. Hindi version will follow.

Yours faithfully,

(Rahul Nangare)

Under Secretary to the Govt. of India

Copy to:

1. PPS to Chairman/CBEC and All Members, CBEC

2. All Directorates-General/Directorates under CBEC

3. All sections under CBEC.