New Delhi, Mar 19 (KNN) The Ministry of Finance has come up with a further clarification on 1% excise duty for addressing the concerns of the contract workers. In a statement it said that in case of jewellery manufactured on job work basis, the liability to take registration, pay duty and to file return will be on the principal manufacturer and not on the job worker.

The ministry has issued more clarifications following a meeting of representatives of jewellery industry with revenue secretary and officials of the Central Board of Excise & Customs on March 17.

Exemption from excise duty up to the Rs 6 crore limit is available to a jewellery manufacturer if his aggregate value of domestic clearances was less than Rs 12 crore in the preceding financial year.

An artisan or goldsmith who only manufactures jewellery on job-work basis is not required to register with the Central Excise, pay duty and file returns, as all these obligations will be on the principal manufacturers.  A jewellery maker with turnover less than Rs 12 crore in preceding FY and less than Rs 6 crore in current year is not required to file returns.  (KNN Bureau with Ministry inputs)