04 March 2016
Dear You must asking wrt textiles as amended by finance bill 2016 As you know,in case you are liable to pay excise then you are eligible to take cencat credit on inputs. But here the govt has provided an option to the manufacturer I.e if they want to take cenvat credit then they need to pay ED @12.5%.and they do not want to take cenvat credit then pay ED@ 2%.
04 March 2016
ONE OF MY CLIENT IS ENGAGED IN MANUFACTURING OF TEXTILES, THEN HE WILL BE ELIGIBLE FOR 2% ED WITHOUT CENVAT CREDIT. IS THERE ANY FURTHER ABATEMENT APPLICABLE OR FLAT RATE OF 2 % ED
04 March 2016
Dear For a textile good to be taxable following all the conditions should be fulfilled. 1. RSP of Rs1000 or more 2. Item should bear a brand name 3. Tarrif value will be 60% of RSP. 4. ED 2% or 12.5% tarrif value
04 March 2016
CLIENT IS DOING CUTTING, STICHING AND PACKING FOLDING OF BEDSETS AND THEN SENT TO OTHER HANDLOOMS CLIENT LIKE BOMBAY DYING. IN THIS SITUATION WHETHER EXCISE WILL APPLICABLE AND IF YES WHAT WILL BE THE EXCISABLE VALUE IF SALE PRICE IS 2000/-
04 March 2016
Dear Here you have to see whether the branding and price tag are affixed by him or by Bombay dyeing. If your client is doing same then he will be liable to ED. As the RSP is Rs. 2000/- hence ed will be 2000*60%= ₹ 1200/- i.e tarrif value. ED = 1200*2%=₹24/without cenvat.
CAclubindia
