Value added tax (VAT) Introduction : The value added tax was introduced as an indirect tax into the Indian taxation system from 1 April 2005. The existing general sales tax laws were replaced with new Value Added Tax Acts and…
Tag: Cenvat Credit
Other Provision Cenvat Credit
Transfer of CENVAT Credit (Rule 10) – If a manufacturer of the final products shifts his factory to another site or the factory is transferred on account of change in ownership or on account of sale, merger, amalgamation, lease or…
Input Service for Cenvat
Input Service Manufacturer as well as service provider will be eligible to get Cenvat credit of ‘input services’. Rule 2(1) of Cenvat Credit Rules reads as follows – (i) Insofar as a service provider is concerned, the term ‘input service’…
Highlights of Cenvat Credit Scheme
General highlights of the scheme are as follows : Credit of duty paid on input and input services The Cenvat scheme is principally based on system of granting credit of duty paid on inputs and input services. A manufacturer or…
Demands and Penalties
• If duty is short paid or not paid or erroneously refunded, show cause notice can be issued u/s 11A(1) of CEA within one year from ‘relevant date’. • In case of allegation of suppression of facts, willful misstatement, fraud…
Other procedure in Central Excise
Some procedures are basic, which every assessee is required to follow. Besides, some procedures are required to be followed as and when required. Basic Procedures (1) Every person who produces or manufactures excisable goods, is required to get registered, unless…
Excise on small scale industries
Small Scale Industries The contribution of Small Scale Sector in the industrial growth of the Indian economy and to the Gross Domestic Product is significant, besides the potential for employment generation. Keeping this into consideration, special provisions of Central Excise…
Assessment under Central Excise Law
The expressions ‘assessment’ and ‘assessee’ have been defined in the Central Excise Rules, 2002. Assessment, as per Rule 2(b), includes self-assessment of duty made by the assessee and provisional assessment under Rule 7 of the said Rules Assessee, as per…
MRP based valuation
Same product partly sold in retail and partly in wholesale – CBE&C has further clarified in circular No. 737/ 53/2003-CX dated 19-8-2003 that when goods covered u/s 4A are supplied in bulk to large buyer (and not in retail), valuation…
Valuation in case of Job work – Rule 10A
MEANING OF JOB WORKER Job-worker means a person engaged in the manufacture or production of goods on behalf of a principal manufacturer, from any inputs or goods supplied by the said principal manufacturer or by any other person authorised by…