We are dealing in readymade garments and have 2 divisions:-
1) Export readymade garments
2) Sell readymade garments to different companies in India
In the recent budget, a 10% excise duty has been imposed on branded readymade garments. In this context, we need your opinion on the following :-
1) All the goods that we sell in domestic market are made as per orders received from our customers and are manufactured by job workers for us. We buy and give all different raw materials to them and in return they make and give us final product (duly packed as per our customer request) which is sold to our customers as it is.
2) Since till date excise was not applicable, we did not have an excise registration certificate. Since we get all our goods made from job workers, please guide if we qualify to get registration or it has to be taken by our job workers. Does the excise need to be paid at the time of taking delivery of goods from our job workers to our godown or should it be paid when we send the goods from our godown.
3) Is there is limit under which excise is not applicable
4) In case we take a registration as we are currently having orders on hand from our customer and in case in future we do not have any local sales, can we surrender our registration certificate.
5) Since we export as well, does excise have any impact on our exports. Here also, we get all our goods made with job workers. How do we move our export goods from our godown to port for export.
6) From what date this rule will come into effect
7) In case we are required to be registered with excise dept and at present we do not have registration, can we move the goods now or we have to wait till we are allotted the number
8) is there any particular / prescribed format of inoive / bill which needs to be raised on our customers
9) Will the duty have to be paid with every transaction, or it can be paid every month like service tax / Vat etc. In case it can be paid on a monthly basis, what is the due date for the same.
Since we are very raw and have very limited knowledge about exicse some of our questions may sound very immature. But there are a lot of queries we have at our end.
We shall really appreciate a feedback from your end.
Thanks and regards,