Understanding Excise Duty For Exports

The government does not charge excise duty for exports. If you are a 100 percent export oriented unit, you adjust the excise duty with an ARE 1 or an ARE 3 document. You must submit the ARE 1 bond or the ARE 3 certificate to the Government within the statutory time limit. These documents are proof of the export transaction. However, if you do not submit the ARE 1 and ARE 3 receipts in time, you must pay the excise duty as well as the interest.

If you are unable to submit the document to the government on time, you use the Excise Duty Payment -Export program (P75I347) to pay the excise duty and interest for late submission. You pay this amount by utilizing the available credit in AII and CII accounts or by debiting the Personal Ledger Account (PLA).

The system retrieves details for these accounts from the F75I310Y and F75I310Y - Tag File (F75I311) tables.

Note: You use the Upload AII/CII/PLA Open. Balance/Next No. program (P75I381) to enter the available balances of basic excise duty, education cess, secondary higher education cess, special excise duty, and additional excise duty components in the AII, CII, and PLA accounts.