CBEC Notifies Common Registration for First Stage Dealer cum Importer
An assessee who conducts business both as an importer and a First Stage Dealer may take common registration, i.e. single registration, as he has been exempted from the requirement of taking a second registration and also can file a single returns as per CBEC Notification and Circular to this effect, as detailed below:
A. CBEC Notification on Single Registration for First Stage Dealer cum Importer
In pursuance of sub-rule (2) of rule 9 of the Central Excise Rules, 2002, the Central Board of Excise and Customs hereby specifies that-
(i) a person who is registered as a first stage dealer shall not be required to take registration as an importers; or
(ii) a person who is registered as an importer shall not be required to take registration as a first stage dealer.
B. CBEC Circular on Single Registration for First Stage Dealer cum Importer
1. Attention is invited to Notifications No. 30/2016-C.E.NT dated 28th June, 2016 by which it has been provided that an assessee who is registered as a First Stage Dealer shall be exempted from taking registration as an importer and vice-versa.
2.1 An assessee who conducts business both as an importer and a First Stage Dealer may take only one registration as he has been exempted from the requirement of taking a second registration. It may be noted that the facility is optional and any asscssee needing separate registration for his own business purposes, may so register.
2.2 Such assessee who conducts business both as a First Stage Dealer and an Importer, henceforth shall also have the option of filing a single quarterly return giving details of transactions as a first stage dealer and an importer, one after the other in the same table of the return, viz., all transactions as first stage dealer during the return period shall be followed by all transactions as an importer during the same return period.
C. CBEC Invites comments on the Draft Notification and Circular on Proposed Common Registration for First Stage Dealer cum Importer
As per CBEC Notification No. 8/2014-CENT and 9/2014-CENT dated 28.2.2014, an importer who issues an invoice on which CENVAT Credit can be taken, is required to get registered and file a quarterly return.
In fact, CBEC has received many representations from stakeholders that in the case of assessees who are both ”importers” and “dealers” the need for taking separate registration and filing separate returns has increased procedural compliance and transaction cost. For improving ease of doing business they have requested for a single registration and return for such assessees.
In view of above, the CBEC proposed to exempts a registered first stage dealer from taking a separate registration as an importer and vice versa, at his option. Besides, it proposed to facilitate common registration and return for First Stage Dealer and lmporter.
Accordingly, the CBEC had invited comments on 23 May 2016 from stakeholders on the draft Notification/ Circular, latest by 6 June, 2016.