Grand Opening Ceremony Of GJ Hub India Gems & Jewellery Show Bangalore - 2017

Pan India Seminars onnew Excise Duty norms!

2016-07-18


GJF to organize pan India seminars for jewellers

To guide them on new Excise Duty norms

To share finer details of Excise related compliance, Administrative matters & maintenance of records!

All India Gems & Jewellery Trade Federation (GJF), the apex body of the domestic gems & jewellery sector, plans to organize Pan India seminars for jewellery manufacturers, retailers and traders to share information about the norms of excise duty implementation and other trade related administrative practices, issued byCentral Board of Excise and Customs (CBEC). 

This is one of the major exercises initiated by GJF across India to discuss and clarify any queries from the members. These seminars will be addressed by GJF Chairman, Directors, Regional Directors and experts from the industry to explain nitty-gritty of new policy announcement. The first mega seminar held in Mumbai on 16th July, 2016.

On July 13, 2016, Union Finance Ministry announced that it has accepted the High Level Committee (chaired by Dr. Ashok Lahiri, along with CBEC and Excise consultant and in which GJF Director Ashok Minawala represented the jewellery trade along with 2 more members from the trade).

Recommendations and increased for jewellery manufacturers the SSI eligibility limit from Rs. 12 crore to Rs. 15 crore and the SSI exemption limit from Rs. 6 crore to Rs. 10 crore in a financial yearand Rs. 85 lakh for the month of March, 2016, from the earlier Rs. 50 lakh.

The circular said: Excise duty on jewellery will be payable on first sale invoice value, goods in transit will not be excisable, exchange of old gold ornaments into new ornaments excise duty will be charged only on value addition and many more points that are accepted by Government will provide an alleviation to the trade.

Appreciating the Government notification on accepting the recommendation of high level committee, Mr. GV Sreedhar, Chairman, GJF, said, “GJF has voluntarily decided to organize pan India seminars to apprise members of the gems & jewellery trade about the new norms and practices for implementation of excise duty across the jewellery sector. The Government has accepted most of the recommendations of the Dr. Ashok Lahiri High Level Committee and jewellers will be more comfortable in undertaking business transactions in the new environment of simplified procedural & compliance hurdles pertaining to the excise duty.”

He added more, “This also exhibits the relentless efforts and coherent understanding in details of the excise issues by the High Level Committee. We request our Government to continue their support to the gems & jewellery by also raising the PAN card limit. We are hopeful that Government will soon issue TRU notifications and circulars on all points considered and accepted.”

Mr. Ashok Minawala, Director, GJF (Hon. Member, Dr. Ashok Lahiri High Level Committee on Excise Duty), said, “These seminars will guide jewellers on various aspects relating to compliance, maintenance of records and other administrative matters aspects. 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 sentiments as the industry was eagerly awaiting the clarifications on the levy of excise duty.”

The seminar will touch upon 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/exported goods, etc., to be accepted for excise purposes; stock details to be maintained on weight and caratage basis, movement of jewellery, transit checks, excise duty on value additions in case of converted jewellery, etc.