CUS NTF NO. 28/1997 DATE 01/04/1997
EPCG Licence - Condition for Concession
General Exemption No.76-I
Concessional duty for capital goods, components and spares etc. thereof when imported under EPCG Scheme
[As amended by Notification No. 8/98-Cus., dt. 23-4-1998, 33/98-Cus., dt. 9-6-1998, 42/98-Cus.,dt. 30-6-1998, 75/98-Cus., dt. 9-10-1998 and 56/99-Cus., dt. 11-5-1999
In exercise of the powers conferred by sub-section (1) of section 25 of the Customs Act, 1962 (52 of 1962), the central Government, being satisfied that it is necessary in the public interest so to do, hereby exempts goods as specified in the Table annexed here to from so much of the duty of customs leviable there on which is specified in the First Schedule to the Customs Tariff Act, 1975 (51 of 1975), as is in excess of the amount calculated at the rate of 10% ad valorem and from whole of the additional duty leviable thereon under section 3 of the said Customs Tariff Act, subject to the following conditions, namely : -
TABLE
|
S. No. |
Period from the date of issue of licence |
Proportion of total export obligation |
|
1. |
1st year |
Nil |
|
2. |
2nd year |
10% |
|
3. |
3rd year |
20% |
|
4. |
4th year |
30% |
|
5. |
5th year |
40% |
CUS NTF NO. 14/2003 DATE 21/01/2003)
(Condition (6) has been substituted vide Cus Ntf No.49/2002 date 24/04/2002)
[OLD (6) Nothwithstanding anything contained in conditions (3) and (4), where the Licensing Authority grants an extension of yearwise period or overall period of fulfillment of export obligation or regularisation of shortfall, in export obligation, not exceeding 5% of such export obligation, the said yearwise period or overall period of export obligation may be extended and the said shortfall in export obligation be condoned by the Assistant Commissioner of Customs or Deputy Commissioner of Customs:
Provided that extension of yearwise period of export obligation shall not be allowed more than once and more than a period of one year within a period of five years.
(Condition No. (6) has been substituted vide Customs NTF ]
2 Where the goods are found defective or unfit for use, the said goods may be re-exported, back to the foreign supplier within 3 years from the date of payment of duty on the importat ion thereof.
Provided that at the time of re-export the goods are identified to the satisfaction of the Assistant Commissioner of Customs or Deputy Commissioner of Customs as the goods which were imported.
(After condition (6)para 2 has been inserted vide Ntf.No.52/2000 Cus dt.28/04/2000)
3. In a case of default in export obligation, when the duty on goods is paid to regularise the default, the amount of interest paid by the importer shall not exceed the amount of duty if such regularisation has been dealt in terms of Public Notice of the Government of India in the Ministry of Commerce No. 22 (RE-2013)/2009-2014 dated the 12th August, 2013.
(In the Notification, Paragraph 3 Shall be inserted Vide CUS NTF NO. 46/2013 DATE 26/09/2013)
TABLE
|
S.No. |
Description of goods |
|
(1) |
(2) |
|
1. |
Capital goods |
|
2. |
Capital goods in SKD / CKD condition to be assembled into capital goods by the importer. |
|
3. |
Components of capital goods required for assembly or manufacture of capital goods by the importer. |
|
4. |
Spare parts not exceeding 20% of the value of goods specified at serial Nos. 1, 2 and 3 actually imported and required for maintenance of the capital goods so imported, assembled, or manufactured. |
Explanation: - In this notification : -
(1) "Capital goods" means any plant, machinery, equipment and accessories required for -
(a) manufacture or production of other goods, including packaging machinery and equipment, refectories, refrigeration equipment, power generating sets, machine tools, catalysts for initial charge, and equipment and instruments for testing, research and development, quality and pollution control,
(b) use in manufacturing, mining, agriculture, acquaculture, animal husbandry, floriculture, horticulture, pisciculture, poultry viticulture and sericulture.
(c) rendering services.
(2) "Export and Import Policy" means the Export and Import Policy April, 1997 - March, 2002 published vide notification of the government of India in the Ministry of Commerce No. 1/1997-2002, dated the 31st March, 1997.
(3) "Licensing Authority" means the Director General, Foreign Trade appointed under section 6 of the Foreign Trade (Development and Regulation) Act, 1992 (22 of 1992) or an officer authorised by him to grant a licence under the said Act.
(4) export obligation
(a) in relation to importers other than those rendering services, means export to a place out side India of products manufactured with the use of capital goods imported, assembled or manufactured in terms of this notification or making of supplies of such products in terms of clauses (a), (b), (d), (f) and (g) of paragraph 10.2 of the Export and Import Policy.
(b) in relation to importers rendering services, means receiving payments in freely convertible foreign currency for services rendered through the use of such capital goods; and
(c) means, export of goods in terms of the notification of the Government of India in the Ministry of Commerce and Industry (Department of Commerce) No.28(RE-2003)/2002-2007, dated the 28th January, 2004.
(Clause 4 has been substituted vide CUS NTF NO. 29/2004 DATE 28/01/2004)
[OLD(4) "Export Obligation", in relation to importers other than those rendering services, means export to a place outside India of products manufatured with the use of capital goods imported, assembled or manufactured in terms of this notification, or making of supplies of such products in terms of clauses (a), (b), (d), (f) and (g) of paragraph 10.2 of the Export and Import Policy and, in relation to importers rendering services, means receiving payments in freely convertible foreign currency for services rendered through the use of such capital goods.]
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