CUSTOMS, CENTRAL EXCISE DUTIES AND SERVICE TAX DRAWBACK RULES, 1995
(1) These rules may be called the 17[Customs, Central Excise Duties and Service Tax Drawback Rules, 1995].
(2) They extend to the whole of India.
(3) They shall come into force on the 26th day of May, 1995.
17. Substituted by Notification No. 80/2006 NT Dated 13.07.2006 relating to Customs and Central Excise Duties Drawback (Amendment) Rules, 2006 for Customs and Central Excise Duties Drawback Rules, 1995.
In these rules, unless the context otherwise requires, -
18[(a) drawback in relation to any goods manufactured in India and exported, means the rebate of duty or tax, as the case may be, chargeable on any imported materials or excisable materials used or taxable services used as input services in the manufacture of such goods;];
(b) "excisable material" means any material produced or manufactured in India subject to a duty of excise under the 1[Central Excise Act, 1944] (1 of 1944);
15[(c) "export", with its grammatical variations and cognate expressions, means taking out of India to a place outside India or taking out from a place in Domestic Tariff Area (DTA) to a special economic zone and includes loading of provisions or store or equipment for use on board a vessel or aircraft proceeding t
(1) Subject to the provisions of -
(a) the Customs Act, 1962 (52 of 1962) and the rules made there under,
(b) the 1[Central Excise "Act, 1944] (1 of 1944) and the rules made there under, 20[***]
19[(bb) the Finance Act, 1994( 32 of 1994), and the rules made there under; and]
(c) these rules,
a drawback may be allowed on the export of goods at such amount, or at such rates, as may be determined by the Central Government :
21[Provided that where any goods are produced or manufactured from imported materials or excisable materials or by using any taxable services as input services, on some of which only the duty or tax chargeable thereon has been paid and not on t
The. Central Government may revise amount or rates determined under rule 3.
(1) The Central Government may specify the period upto which any amount or rate of drawback determined under rule 3 or revised under rule 4, as the case may be, shall be in force.
(2) Where the amount or rate of drawback is allowed with retrospective effect, such amount or rate shall be allowed from such date as may be specified by the Central Government by notification in the Official Gazette which shall not be earlier than the date of changes in the rates of duty on inputs 19[or tax on input services] used in the export goods.
(3) The provisions of section 16, or sub-section (2) of section 83, of the Customs Act, 1962 (52 of 1962) shall determine the amount or rate of drawback applicable to any goods exported under these rules.
19.Inserted by Notification No. 80/2006 NT Dated 13.07.2006 relating to Customs and Central Excise Duties
(1) 13[(a) Where no amount or rate of drawback has been determined in respect of any goods, any 23[manufacturer] or exporter of such goods may, within 36[three months] from the date relevant for the applicability of the amount or rate of drawback in terms of sub-rule (3) of rule (5), apply in writing to the Commissioner of Central Excise or the Commissioner of Customs and Central Excise, having jurisdiction over the manufacturing unit, of the 23[manufacturer] or, of the supporting manufacturer, as the case may be, for determination of the amount or rate of drawback thereof stating all the relevant facts including the proportion in which the materials or components 19[or inputs services] are used in the production or manufacture of goods and the duties paid on such materials or components 19[or the tax paid on input services]:
37["Provided that-
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(1) 13[Where, in respect of any goods, the 23[manufacturer] or exporter finds that the amount or rate of drawback determined under rule 3 or, as the case may be, revised under rule 4, for the class of goods is less than four-fifth of the 25[duties or taxes paid on the materials or components or input services] used in the production or manufacture of the said goods, he may within 36[three months] from the date relevant for the applicability of the amount or rate of drawback in terms of sub-rule (3) of rule (5), make an application in writing to the Commissioner of Central Excise or the Commissioner of Customs and Central Excise having jurisdiction over the manufacturing unit, of the 23[manufacturer] or, of the supporting manufacturer, as the case may be, for determination of the amount or rate of drawback thereof stating all relevant facts including the proportion 26[in which the materials or components or input services are
(1) No amount or rate of drawback shall be determined in respect of any goods under rule 3, rule 6 or, as the case may be, rule 7, the amount or rate of drawback of which would be less than 3[one per cent] of the F.O.B. value thereof, except where the amount of drawback per shipment exceeds 4[five hundred rupees :
Provided that this sub-rule shall not apply in the case of -
(a) drawback on exports made in discharge of export obligation against an Advance Licence issued under the Export and Import Policy notified by the Central Government under section 5 of the Foreign Trade (Development and Regulation) Act, 1992 (22 of 1992), or
(b) export made by post.]
(2) No amount or rate of drawback shall be determined in respect of any goods or class of goods
For the purpose of -
28[(a) determining the class or description of materials or components or input services used in the production or manufacture of goods or for determining the amount of duty or tax paid on such materials or components or input services, or].
(b) verifying the correctness or otherwise of any information furnished by any manufacturer or exporter or other persons in connection with the determination of the amount or rate of drawback, or
(c) verifying the correctness or otherwise of any claim for drawback, or
(d) obtaining any other information considered by the 13[Commissioner of Central Excise or the Commissioner of Customs and Central Excise, as the case may be, to be relevant or useful,]
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Whenever an officer of the Central Government specially authorised in this behalf by an 5[Assistant Commissioner of Customs or Deputy Commissioner of Customs] or of Central Excise, considers it necessary, the manufacturer shall give access at all reasonable times to the officer so authorised to every part of the premises in which the goods are manufactured, so as to enable the said officer to verify by inspection the process of, and the materials or components used for the manufacture of such goods, or otherwise the entitlement of the goods for drawback or for a particular amount or rate of drawback under these rules.
5. Designation changed by Notification No. 29/99-Cus. (N.T.) dated 11-5-1999.
(1) Where goods are to be exported by post under a claim for drawback under these rules, -
(a) the outer packing carrying the address of the consignee shall also carry in bold letters the words "DRAWBACK EXPORT";
(b) the exporter shall deliver to the competent Postal Authority, along with the parcel or package, a claim in the form at Annexure I, in quadruplicate, duly filled in.
(2) The date of receipt of the aforesaid claim form by the proper officer of Customs from the postal authorities shall be deemed to be date of filing of drawback claim by the exporter for the purpose of section 75A and an intimation of the same shall be given by the proper officer of customs to the exporter in such form as the 2[Commissioner of Customs] may prescribe.
(3) In
(1) In the case of exports other than by post, the exporters shall at the time of export of the goods -
(a) state on the shipping bill or bill of export, the description, quantity and such other particulars as are necessary for deciding whether the goods are entitled to drawback, and if so, at what rate or rates and make a declaration on the relevant shipping bill or bill of export that-
(i) a claim for drawback under these rules is being made;
29[(ii) in respect of duties of Customs and Central Excise paid on the containers, packing materials and materials and the service tax paid on the input services used in the manufacture of the export goods on which drawback is being claimed, no separate claim for rebate of duty or service tax under the Central Excise Rules, 2002 or any other law has bee
(1) Triplicate copy of the Shipping Bill for export of goods under a claim for drawback shall be deemed to be a claim for drawback filed on the date on which the proper officer of Customs makes an order permitting clearance and loading of goods for exportation under section 51 and said claim for drawback shall be retained by the proper officer making such order.
(2) The said claim for drawback should be accompanied by the following documents, namely :-
(i) copy of export contract or letter of credit, as the case may be,
(ii) copy of Packing list,
(iii) copy of 30[ARE-1], wherever applicable,
(iv) insurance certificate, wherever necessary, and
(v) copy of com
(1) The drawback under these rules and interest, if any, shall be paid by the proper officer of Customs to the exporter or to the agent specially authorised by the exporter to receive the said amount of drawback and interest.
(2) The officer of Customs may combine one or more claims for the purpose of payment of drawback and interest, if any, as well as adjustment of any amount of drawback and interest already paid and may issue a consolidated order for payment.
(3) The date of payment of drawback and interest, if any, shall be I deemed to be, in the case of payment -
(a) by cheque, the date of issue of such cheque, or
(b) by credit in the exporter's account maintained with the Custom House, the date of such credit.
(1) Where any exporter finds that the amount of drawback paid to him is less than what he is entitled to on the basis of the amount or rate of drawback determined by the 13[Central Government or Commissioner of Central Excise or the Commissioner of Customs and Central Excise, as the case may be], he may prefer a supplementary claim in the form at Annexure III:
Provided that the exporter shall prefer such supplementary claim within a period of three months :-
(i) Where the rate of drawback is determined or revised under rule 3 or rule 4, from the date of publication of such rate in the official Gazette;
(ii) Where the rate of drawback is determined or revised upward under rule 6 or rule 7, from the date of communicating the said rate to the person concerned;
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Where an amount of drawback and interest, if any, has been paid erroneously or the amount so paid is in excess of what the claimant is entitled to, the claimant shall, on demand by a proper officer of Customs repay the amount so paid erroneously or in excess, as the case may be, and where the claimant fails to repay the amount it shall be recovered in the manner laid down in sub-section (1) of section 142 of the Customs Act, 1962 (52 of 1962). '
(1) Where an amount of drawback has been paid to an exporter or a person authorised by him (hereinafter referred to as the claimant) but the sale proceeds in respect of such export goods have not been realised by or on behalf of the exporter in India within the period allowed under the 15[Foreign Exchange Management Act, 1999 (42 of 1999)], including any extension of such period, such drawback shall 45[,except under circumstances or conditions specified in sub-rule (5),] be recovered in the manner specified below.
14[Provided that the time-limit referred to in this sub-rule shall not be applicable to the goods exported from the Domestic Tariff Area to a special economic zone.]
(2) On receipt of relevant information from the Reserve Bank of India, the 5[Assistant Commissioner of Customs or Deputy Commissioner of Customs] shall cause notic
If the Central Government is satisfied that in relation to the export of any goods, the exporter or his authorised agent has, for reasons beyond his control, failed to comply with any of the provisions of these rules, and has thus been entitled to drawback, it may, after considering the representation, if any, made by such exporter or agent, and for reasons to be recorded in writing, exempt such exporter or agent from the provisions of such rule and allow drawback in respect of such goods.
(1) As from the commencement of these rules, the Customs and Central Excise Duties Drawback Rules, 1971 (hereinafter in this rule referred to as the 1971 Rules) shall cease to operate,
(2) Notwithstanding such cesser of operation -
(a) every application made by a manufacturer or exporter for the de- termination or revisions of the amount or rate of drawback in respect of goods exported before the commencement of these rules but not disposed of before such commencement shall be disposed of in accordance with the provisions of the 1971 Rules as if these rules had not been made;
(b) any claim made by an exporter or his authorised agent for the payment of drawback in respect of goods exported before the commencement of these rules but not disposed of before such commencement shall be disposed of i
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