WelcomeTopics of discussion :

• Assessment meaning

• Procedure of assessment

• SCN(show cause notice)

• Recovery of dues

Assessment? Assessment means determining the tax liability. Every manufacturer is liable to payExcise duty on the clearance of goods from the factory premises or warehouse

Self assessment

Provisional assessment

Best judgment method

Procedure for assessment in central excise(according to rule2(c) of central excise 2002)

Self assessmentThe assesses shall himself assess the duty payable on excisable goods, except in case of CIGARETTE. The central excise is an invoicebased self assessment.

Procedure under self assessment

1. Ascertainment of removal of goods

2. Classification and valuation of goods

4. Scrutiny of return

5. Scrutiny on basis of payment

3. Assessing monthly return

6. Scrutiny of assessment

7. Annual financial info statement

Basics of self assessmentFORMS•FORM ER 3 SSI UNITS•FORM ER1 OTHER ASSESSES•FORM ER2 EOU/STP•FORM ER5 SPECIFIED ASSESSEE

DOCUMENTS TO BE SUBMITTED:•2 COPIES OF PLA•TR 6 CHALLAN•SUPPLIER’S INVOICE•CENVAT MONTHLY RETURN

E-FILLING OF RETURNSNOW IT IS MANDAOTRY FOR ALL ASSESSEE TO ELECTRONICALLY FILE THE RETURN BY LOGGING INTO THE ACES

provisional assessmentIt means where the assesses cannot determine the value of excisable goods under section 4, ce act or determine the correct classification or rate of duty.Procedure for provisional assessmentRequest by assesses:•In case the assessee is unable to determine the correct value or correct classification ofGoods than he can request the assistant commissioner/deputy commissioner for the Provisional assessment of duty of goods.1. Request must be in writing.2. Request must specify the reasons for provisional assessment3. Period for provisional assessment4. Undertaking to appear before ac/dc.

• Surety/security under rule 7(2)• Final assessment –under rule7(3)• Difference to be paid/refunded• Interest payable/receivable• Refund subject to unjust enrichment

Best judgment assessment In case the assessee fails to provide necessary information/documents and the department Is unable to issue demand, best judgement method may be used. Burden to provide information For re-dertermination of duty is on the assesses