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Unit 13: Registration of Dealers

Certificate is to be granted within 30 days of the receipt of an application and if the same is not Notes
granted within the said period, it shall be deemed to have been granted. The units manufacturing
fully exempted goods or ‘nil’ rated goods unconditionally are not required to get themselves
registered.

13.1 Registration of Dealers

The existing registration nos. have been replaced by PAN based 15 digit registration nos. w.e.f.
st
1 December 2001. The PAN based registration no. is alpha numeric . The first part would be the
10 character (alpha numeric) Permanent Account number issued by Income tax authorities. The
second part would comprise of a fixed 2 character alpha code which will be as follows:

Category Code
1. Cental Excise Manufacturers XM

2. Registered Dealers SD

This is required to be followed by three character numeric code - 001, 002, 003 ... etc. as the case
may be. In case, a manufacturer has only one factory/dealer’s premise/ware house, the last
three character will be 001. If there are more than one factories/dealer’s premises/ware houses
of such a person having common PAN for all such premises, the last three character would be
002, 003 ... etc.
The SSI units exempted from payment of duty on the basis of annual value of clearances have
been exempted from the requirement of registration so long as their value of clearances for a
financial year does not exceed the exemption limit. Such units are only required to file a
declaration to the department and there is no need to maintain the statutory Central Excise
Records in respect of their production and clearances. However, the units are required to maintain
the running serial numbered invoice book and they should also mention the progressive value
of clearances in the said invoices. They are not required to submit any return to the department.

The Central Government has made it possible for manufacturer of excisable goods to avail
MODVAT (now CENVAT) credit of duty paid on the inputs purchased from any dealer w.e.f.
04.07.94. The dealer intending to issue moveable (now Cenvatable) invoices should get themselves
registered with the jurisdictional Range Superintendent by following the procedure prescribed
in Rule 9 of Central Excise (No.2) Rules, 2001. A Separate registration should be obtained for
every godown/store-room of the dealer. The dealers who get themselves registered with Central
Excise will ensure that the prescribed register is maintained in the godown/store-room. The
Dealer is required make proper entry of each consignment received/issued by them in the
prescribed register.
The Dealer shall issue the invoices made out in quadruplicate. The copies of the invoices issued
by a first stage dealer and a second stage dealer shall be marked at the top as “FIRST STAGE
DEALER” and “SECOND STAGE DEALER” respectively. The invoice issued by a first stage or
second stage dealer in the case of imported goods and by a second stage dealer in the case of
other goods, shall be duly authenticated by the proper officer.

The Dealer shall issue only one invoice in respect of the consignment if all the packages
comprising the said consignment are dispatched in one lot at any one time. If a consignment is
split up into two or more lots and each such consignment is dispatched separately either on the
same day or on different days, a separate invoice shall be made out in respect of each lot.
Separate invoices shall be issued in case where the consignment is loaded on more than one
vehicle.

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