MUMBAI 16 JULY, 2016 (GPN) : All India Gems and Jewellery Trade Federation (GJF) today said it will conduct workshops in 60 cities across the country to create awareness among jewellers on norms of excise duty implementation and other trade related practises.
“There is lot of confusion among jewellers related with the excise duty norms, administrative matters and maintenance of records. We will organise workshops in 60 cities across the country and clarify and discuss issues related with excise duty implementation,” GJF Director Ashok Minawala told reporters here.
He said the government has accepted most of the recommendations of the Ashok Lahiri High Level Committee, which is easier and simple pertaining to the excise duty.
The Ashok Lahiri was set up to suggest steps to sort out taxation problem being faced by the jewellery trade and industry.
Accepting of recommendations, the government increased Small Scale Industry (SSI) exemption limit to Rs 10 crore from Rs 6 crore, waived the levy on sale of traded goods and relaxed various procedural norms.
The Finance Ministry said no excise audit will be carried out for the first two years for units whose duty payment is less than Rs 1 crore (that is turnover of manufactured goods less than Rs 100 crore).
“Many important issues such as no summons or visit without Commissioner’s approval, optional scheme, has been accepted by the government for the betterment of the trade. This will boost trade sentiment as the industry was eagerly awaiting the clarifications on the levy of excise duty,” Minawala added.
The workshops will address issues such as excise duty levies without input, capital goods tax credit with credit, no excise duty may be payable on the sale of traded goods, records maintained for state VAT and other private records, showing details of inputs, stocks, manufactured goods, sold or exported goods, among others, to be accepted for excise purposes, he said.
“We will also guide traders on stock details to be maintained on weight, movement of jewellery, transit checks, excise duty on value additions in case of converted jewellery,” he added.
About 15-10 per cent jewellers, which do 80 per cent of the business in the industry, will come under the excise net.