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Passing cvd beniefit to customer

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Dear Sir, I as proprietor of a firm is engaged in importing and trading  of goods from different locations in USA ,Taiwan etc .The percentage of imports in my total turnover is meagre 10% .I am also registered with Local govt in VAT and have TIN Number and also IEC .My total turover is arround 35 lacs .Whereas I import certain items from a company location outside India pay all basic custom duties ,CVD etc .and add profit to it and sell to our customer by VAT invoice including appropriate VAT .

Recently one of our customers has asked to pass on cvd benefit to them .pls advice how is that possible .I don't want to enter into getting registration in central excise and customs due to lot of hassels and documentation .kindly advice if its mandatory for getting registered in Central Excise and Customs and how can i avoid it nd what my reply to customers should be .

Replies (1)

If your turnover is below 1.5 CR, excise registration is not mandotary, it is optional for you. However, if you are paying excise duty on purchases, it is a cost for you now. If you get registered, you can take credit of the same by passing it on to your customer.


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