Cir. No.18/18/1994-CX, dt. 09/02/1994
- Document type
- Circular
- Reference no.
- A
- Dated
Rural Automatic Exchanges,
Subject: Central Excise - Benefit of Notification No. 73/90-CE dated 20.3.1990-Rural Automatic Exchanges
In terms of notifications No. 73/90-CE dated 20th March, 1990, concessional rate of duty of 15% have been prescribed for Rural Automatic Exchanges (RAX) (upto 512 ports) subject to the condition that the manufacturer produces at the time of clearance a certificate from an officer not below the rank of General Manager in the Department of Telecommunications of the Government of India that the goods in question (including the quantity and technical specifications) are required for the establishment of rural telecommunication network by the Department of Telecommunications and will not be used for any other purpose.
2. It has been clarified by the Department of Telecommunications (copy enclosed) that RAX (512 Ports) includes, the Base Module and Line Module, the Input-Output Processor, Alarm Display Unit, Monitor, Software, Documentation. Over Voltage Protection Devices, Spares and Installation materials. 7 have clarified that these items manufactures By the manufactures and described above constitute the Rural Automatic Exchanges (RAX) and has t essential character of complete goods, namely RAX (512 Ports) covered by S No. I of the notification No. 73/90-CE. Therefore, if the above goods are manufactured and cleared together from the factories, they may be treated a RAX and given the benefit of the notification, even though some other item such as power plants, batteries, transmission equipment, main distribution frame, telephone cables and subscriber telephone instruments are brought art supplied separately.
3. Main distribution frame will not get the benefit of this exemption since it is not a part of RAX. Any one of these items mentioned above, if cleared separately as a single item, cannot get the benefit of the notification.
4. All pending assessment may be finalised.
5. Lower field formations may be advised suitably and Trade may be formed accordingly.
Sd/-
(Arvind Singh)
Deputy Secretary to the Government of India