Non-assessee in Central Excise & Service Tax
Through registration a person or business entity enters in to tax regime. The registration code derived from registration certificate is the recognition or identity of the tax payer.
However, there arises few situations when persons or business entities who are either not required to pay tax or exempt from all tax gamut but require to pay some amount to tax collecting government and at this point of time they need a code/recognition/identity to make payment of such amount. These persons or business entities are called non-assesses in Central Excise & Service Tax. (Circular No. 919/09/2010-CX Dated 23/03/2010)
This registration is not required if the person or business entity is already registered under Central Excise or Service Tax.
1. What are the situations when non-assesses registration is required?
A. Persons or business entity such as (a) merchant exporter, (b) co-noticee, (c) refund applicant, (d) persons liable to pay penalties for late CE/ST registration and against whom the departmental authorities have initiated proceedings or issued a penalty order and (e) persons e.g. STPI, EOUs who are required to tender any payment under CE/ST Act /Rules are Non-assessee.
2. How can they register themselves?
A. Non-assessee registration is done online through ACES Website (www.aces.gov.in).
3. What is the registration procedure?
A. The steps are exactly the same as required for Central Excise or Service Tax Registration. The applicant has to follow following steps to register himself/itself:
1. Log in as a new/existing user on ACES Website.
2. Go to REG (Registration) menu.
3. Select form for Non-assessee. (Second option – “Fill Non-Assessee”)
4. Fill the complete form with all compulsory fields and submit. PAN will be tallied with NSDL website.**
5. System will generate 15 digit PAN based registration code like routine Central Excise/Service Tax Registration Code.
**If the registration of Non-assessee is done to take refund or rebate, PAN must be ensured. However, PAN must be ensured in any other case and ACES website will automatically check the PAN online through NSDL database.
4. Is there any approval required to obtain such Non-assessee code?
A. No. The moment form is submitted as per above guidelines, the code generated by the system is final and therefore like routine registration of Central Excise or Service Tax, departmental officers will not be able to view this registration application. No physical submission of documents or physical verification of premises is required.
5. Can Departmental authority create Non-assessee codes?
A. Yes, just like Central Excise or Service Tax Registration codes, this code can also be generated by departmental authorities (Say the Superintendent/Inspector) after receiving relevant details from the person/business entity.
6. How to pay amount as Non-assessee after registration?
A. The Non-assessee can then pay the amount required to pay through the bank after submitting GAR-7 challan with Non-assessee 15 digit code.
CA GAUTAM JOSHI