Determination of place of removal - CBEC Clarification

Ref: TIOL-DDT-2460 dated 21-10-2014.CBEC Circular No. 988_12_2014-CX. dated 20-10-2014 will not be a solution to the problem. The intention to remove ambiguity by abolishing Central Excise Rules, 1944 has backfired. Introduction of Central Excise Rules, 2001 as well as 2002 and Cenvat Credit Rules, 2004 have not achieved the objective since hundreds of sub-rules and Explanations have created more confusion. This matter is of grave concern for taxmen as well as taxpayers because India is ranked at 134 in the year 2014 in the World Bank’s list of 189 countries relating to ease of doing business. An expert Panel was set up in August, 2012 under the Chairmanship of Mr M. Damodaran, former Chairman of SEBI after India was placed 132nd among 183 countries in World Bank’s ease of doing business list. The Panel submitted its 77 page report containing 20 recommendations to the Ministry of Corporate Affairs. The Panel has suggested simpler drafting of rules to avoid leaving any room for interpretations, while recommending greater autonomy to regulators, transparency in selection of heads for regulatory bodies, incentives for states undertaking key reforms and faster resolution of disputes through arbitration mechanism and consent settlements.
**Pankaj Jaroli

pankaj jaroli 22/10/2014