Setup Requirements for Excise Tax for 100 Percent Export-Oriented Units

This table lists the excise tax setup requirements for 100 percent export oriented units:

Setup Requirement	Comments
Verify that the ARE 1 and ARE 3 number exists for the invoice.	You use Upload AII/CII/PLA Open. Balance/Next No. program (P75I381) to enter next numbers for ARE 1 and ARE 3.
Maintain ARE 1 BOND and LOU details.	You use the Excise Bond/LOU Master Maintenance program (P75I303) to enter and maintain the ARE 1 bond and Letter of Understanding (LOU) details. The Government issues ARE 1 bonds and LOUs to the export units.
Enter the ARE 1 Bond receipts.	You use the Receipt ARE-1 program (P75I344) to record the proof of export of goods. This program enables you to replenish the ARE 1 bond used to pay the excise duty. You replenish the bond after you receive the proof of receipt of export.You also use this program to cancel an ARE 1 receipt.
Enter the ARE 3 certificate and annexure details.	You use the Excise CT2-3/Annexure Master Maintenance program (P75I348) to enter the ARE 3 certificate or Annexure details.
Enter the receipt details of ARE 3 certificates.	You use the Receipt ARE-3 program (P75I350) to take the receipt of the proof of export. You enter the receipt date of the proof of export.
Enter excise payments for invoices.	You use the Process for ARE-1/ARE-3 program (P75I322) to review the invoice details with the calculated excise duty and to adjust the excise amount for the corresponding invoice. You adjust the calculated excise duty with an ARE 1 bond or an ARE 3 certificate.
Tracking excise duty for exports.	You use the Excise Duty Payment -Export program (P75I347) to locate the invoices for which the excise duty and the interest are not paid because the ARE 3 and the ARE 1 certificates are not submitted. You use the Excise Duty Payment -Export program (P75I347) to pay this amount by utilizing the available credit in AII and CII accounts or by debiting the PLA.
Enter the ARE 3 certificate details in P2P Cycle	For transactions in the P2P cycle where the excise unit is a 100 percent EOU and the supplier is an excise registered manufacturer, you use the Purchase Order Rule 57F(4) - New program (P75I323) to enter the ARE 3 certificate information and submit to the supplier when you receive the goods. The supplier presents this document to the Government to obtain the tax exemption.