Virendra Hardiya (Sr. Excise Executive) (48 Points)
14 June 2016Hallo Sir !
I wise to now that, is it true ? that if there is Excise duty applicable on invoice, So there is no need to Charge the Service Tax with Excise duty.
This question is arised while invoice genarating for Jobwork (medicaments manufacturing in Load lic. basis.)
Thanks
Venkatanarayana GM
(Partner associate at Hiregange & Associates)
(1279 Points)
Replied 23 June 2016
Correct.
When there is activity which is manufacture it should be attracted to excise duty and not to service tax both are mutually exclusive
Kindly give me the situation to explain further
venkat @ hiregange.com
9620116162
Virendra Hardiya
(Sr. Excise Executive)
(48 Points)
Replied 14 July 2016
The situaton is that, we have manufactured medcine in our Plant on loan lic.basis. in this case all Raw materials, packing materials provides the contractor.
we only process the goods to be manufatured. And at the time of billing we received rates of Jobwork But, calculate the excise duty on basic rate of drugs.
therefore i asked the above question for charge the Excise duty Or Service tax in invoice.
In our accounts we reflact the saperet Cenvat Credit of their Inputs to pay the duty on their behalf.
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