The Bombay Sales Tax Rules, 1959
Chapter VII : Grant of Draw Back, Set off and Refund
R.41E."Re-enactment of rule 41E by Mah. Act No. 9 of 1989 dated 31-3-1989 :-1[bst1] [During the period commencing from 1st July 1981 and ending on 31st March 1984 rule 41 as it existed before the 1st April 1984 shall be deemed to have been re-enacted in the same form as it then existed, with certain modifications as follows, namely :-
2[bst2] [41E.Draw-back, set-off etc., of tax paid by a manufacturer of goods specified in Schedule B.-In assessing the amount of tax payable in respect of any period by a Registered dealer (hereinafter in this rule referred to as "the claimant dealer") the Commissioner, shall, in respect of the purchases made by the claimant dealer on or after the notified day, of goods specified in any entry of Scheule B which were used by him in the manufacture of goods (not being waste goods or scrap goods or by-products) specified in the same entry of Schedule B, for sale or export, grant him a draw-back, set-off, or as the case may be, a refund, of the aggregate of the sums determined in accordance with the provisions of rule 44-D.]
2[bst3] [41E.Draw back, set-off etc. of tax paid by a manufacture of goods 3[bst4] [specified in entry 6 in Schedule B.]--In assessing the amount of tax payable in respect of any period by a registered dealer (hereinafter in this rule referred to as "the claimant dealer") the Commissioner shall, in respect of the purchases made by the claimant dealer 4[bst5] [on or after 1st April, 1984] of goods specified 5[bst6] [in entry 6 of Schedule B] 6[bst7] [not being capital assets or parts and components of capital assets] which were 7[bst8] [used by him within the state] in the 8[bst9] [process of manufacture of goods (not being waste goods or scrap goods or by-products) 9[bst10] ["specified in entry 6 of Schedule B"] for sale or export, grant him a drawback, set-off or as the case may be, a refund of the aggregate of the sums determined is in accordance with the provisions of rule 44D :
Provided that, no drawback, set-off or as the case may be, refund shall be granted under this rule where the goods manufactured by the claimant dealer have been sold by him in the state in respect of which sale the claimant dealer has been allowed deduction under clauses (i), (ii) or (iii) or sub-section (2) of section 7 of the Act;
10[bst11] [Provided further that where the process of manufacturing results in the production of goods specified in entry 6 of schedule B as well as goods other than those specified in entry 6 of Schedule B, then such draw-back, set-off or, as the case may be, the refund shall be apportioned as between-goods specified in entry 6 of schedule B and goods other than those specified in entry 6 of schedule B 11[bst12] [on the basis of the purchase price of goods specified in entry 6 of Schedule B used in the process of manufacture and shall be allowed only to the extent to which it pertains to the manufactured goods specified in entry 6 of Schedule B and where such purchase prices are not ascertainable, the apportionment shall be on the basis of the sale prices of such manufactured goods and shall be allowed only to the extent that it pertains to the manufactured goods specified in entry 6 of Schedule B.]
Explanation.-For the purposes of this rule the expression "export" means a sale in the course of inter-state trade or commerce or in the course of export of the goods out of the territory of India, where such sale result in the movement of the goods from the state.