Circular No. 32 /2011-Customs

 

F. No. 341/26/2011-TRU
Government of India
Ministry of Finance
Department of Revenue
Tax Research Unit
***

 
New Delhi dated  26^th  July, 2011

To
 
All Chief Commissioners of Customs / Customs (Prev.),
All Chief Commissioners of Customs & Central Excise,
All Commissioners of Customs / Customs (Prev.),
All Commissioners of Customs & Central Excise,
All Director Generals under CBEC.
 
Subject: Leviability of Cess on export of Lac/shellac - regarding
 
Sir / Madam,
 
            Representations have been received from Trade and Industry stating that they are being required to pay Cess on Lac/Shellac at the time of export of such goods.
2.       The matter has been examined.  Exports of Lac/shellac were subject to Cess under ‘The Produce Cess Act, 1966’. However, vide Produce Cess Laws (Abolition) Act, 2006, the said Produce Cess Act, 1966 has been repealed w.e.f 25^thSeptember, 2006.  Thus, a Cess under this Act is no longer required to be paid on exports of Lac/shellac.
           
3.         Suitable instructions may accordingly be given to the field formations under your charge.

Yours faithfully,
Limatula Yaden
Director (TRU)