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Circular No. 971/5 /2013
F.No.296/10/2009-CX-9(Pt.)
Government of India
Ministry of Finance
Department of Revenue
Central Board of Customs & Excise
New Delhi, the 29th May, 2013
To
All Chief Commissioners
All Directors General
Sub: Writing off of arrears of Central Excise duty, Customs duty and Service Tax - Constitution of Committees to
advise the authority for writing off of arrears-reg.
Sir,
I am directed to refer to the Circular No. 946/07/2011 dated 01.06.2011 issued from this file number on the subject and to say
that certain amendments have been made in the Delegation of Financial Power Rules, 1978 vide S.O. 3624 dated 14.12.2012
. A copy of the said notification is enclosed.
2. With this amendment, the authorities competent to write-off the arrears of Central Excise and the Commissioner of Service
Tax are also delegated powers to write-off the arrears of Service Tax as well. Consequently, the constitution of the Committees
for examining the proposals for write-off of irrecoverable arrears and recommending deserving cases to the authority
competent to order such write-off, also requires modification. Hence, para 4 & 5 of the Circular No. 946/07/2011 be
substituted by the following :-
" 4. The constitution of the Committees and the powers to write off, delegated to the competent authorities are as under:-
S.
No.
Competent Authority Constitution of the Committee Powers delegated
1.
Chief Commissioner of Customs
& Central Excise/ Central Excise/
Customs
Committee of two Chief
Commissioners of Customs & Central
Excise/ Central Excise/ Customs and
the Chief Commissioner (TAR)
(a) Full powers for abandonment of irrecoverable
amounts of fines and penalties imposed under the
Customs Act, 1962, the Central Excise Act, 1944,
the Gold Control Act, 1968 and the Finance Act,
1994; and
(b) To write off irrecoverable amounts of Customs
or Central Excise duty or Service Tax upto Rs. 15
lakhs subject to a report to the Board.
2.
Commissioner of Customs &
Central Excise / Commissioner
of Customs / Commissioner of
Central Excise/ Commissioner of
Service Tax
Committee of two Commissioners of
Customs & Central Excise/ Central
Excise/ Customs/ Service Tax and
one Commissioner (TAR) nominated
by CC(TAR))
(a) Full powers for abandonment of irrecoverable
amounts of fines and penalties imposed under the
Customs Act, 1962, the Central Excise Act, 1944,
the Gold Control Act, 1968 and the Finance Act,
1994; and
(b) To write off irrecoverable amounts of Customs
or Central Excise duty or Service Tax upto Rs. 10
lakhs subject to a report to the Chief
Commissioner.
5. As regards write off of interest amount, it is clarified that once duty/ tax involved is written off, the interest due thereon would
get automatically written off. It is also clarified that the duty/ tax involved in the case would determine the level of
authority/Committee competent to write off the amount involved. "
Click here for : Notification | Circular No. 946/07/2011 dated 01.06.2011
Yours faithfully,
(Surendra Singh)
Under Secretary to the Govt. of India

Tel: 2309 2413