Central Excise Rules, 2001 provide that the assessee shall be required to file certain periodic returns, which relate to his tax liability and other transaction.

Part-II
RETURN

1. Introduction
   
   1.1 The Central Excise (No.2) Rules, 2001 (hereinafter referred to as the said Rules) provide that the assessee shall be required to file certain periodic returns, which relate to his tax liability and other transaction, such as relating to CENVAT credit .
   
2.  Monthly/Quarterly Return
   
   2.1 Rule 12 of the said Rules has provides that every assessee shall submit to the Superintendent of Central Excise a monthly return in proper form, of production and removal of goods and other relevant particulars, within ten days after the close of the month to which the return relates. However, where an assessee is availing of the exemption under a notification based on the value of clearances in a financial year, he shall file a quarterly return in proper form, of production and removal of goods and other relevant particulars, within twenty days after the close of the quarter to which the return relates. The prescribed return is E.R.1 Return, notified by Notification No. 48/2001-Central Excise (N.T.) dated 26.6.2001. (Anneuxre-12)
   
   2.2 As duties payable on individual consignments need not be paid at the time of removal from the factory or approved place of storage, and sum total of this duty liability can be discharged on fortnightly basis in respect of clearances for a fortnight, certain details for removals for each fortnight, duties payable and the manner in which the actual duty payments are effected by the assessee, the interest payment - if any, where duties paid beyond permitted dates etc. have been specified in the E.R.1 Return.
   
   2.3 The assessees would continue to submit alongwith the E.R.1 Return for the month, copies of the PLA and relevant TR6 challans etc. The PLA Extracts will give details of all the credits made through TR6 challans during the month and upto the 5th of the following month – upto which the duty liability can be discharged for the month. A summary could also be put at the end of the PLA Extracts indicating the following:
   1. opening balance, after discharging the duty liability for the second fortnight of the previous month;
   2. the credits made during the month; and upto the 5th of the following month;
   3. total duty discharged through PLA for the first fortnight;
   4. total duty discharged through PLA for the second fortnight; and
   5. closing balance in the PLA after discharging the second fortnight duty liability.
      
      
   2.7 The units in the SSI sector could suitably modify this summary, as they are required to pay duty on monthly basis.
   
   2.8 The instructions in the form of "NOTES" given at the end of E.R.1 return further elaborate the manner in which it should be compiled and the information to be furnished to the Department.
   
   2.9 Return to be filed by Hundred per cent Export Oriented Undertakings/Units in Free Trade Zones/Units in Special Economic Zones is the E.R.2 Return, notified by Notification No. 49/2001-Central Excise (N.T.) dated 26.6.2001. (Anneuxre-13)