Dear Experts,

If a manufacturer of heavy machinery - say - heat treatment furnace (CETSH 8417000) manufactures the product at customer site. That is - the manufacturer purchases sub assemblis from vendors. He brings these sub assemblies (inputs)to his own factory and then sends to customers site. Then at customer site he actually manufactures the final product - i. e. heat treatment furnace. There is no doubt about the manufacture of the furnace. It is manufactured at customer site from these sub assemblies (inputs). My doubts are:
1. The manufacture takes place outside the manufacture's factory. It takes place at customer's factory. Customer's factory is already an excise registered factory for his own manufacture.So what about registration for the HT furnace manufacturer? Can / should he register a part of the customer's factory for his HT furnace manufacture activity?

2. The sub assemblies (inputs) will be purchased at the manufacturer's factory and then be sent to customer's factory for manufacture of final product (HT Furnace). What procedure to be followed for removal to customer's factory? Because this is not removal under Rule 4(5) (a) to job worker.

3. Can the manufacturer avail cenvat credit of the sub assemblies (inputs)? Can the department take a stand that these inputs are not used in the factory of manufacturer?

I want to clarify whether skimmed milk, toned milk, and milk products are classifiable under Chapter 4 or 19 under Central Excise Tariff and what is the present rate of duty?

My query is wheather there is excise duty on sale of beneficiated Iron ore
We bring Iron ore in lumps form and after processing sell it as iron ore lumps and fines I would like to know the status of excise duty on such an ore

As earlier stated in query that X company is manufactuere of pahramceuticals formulation. X company purchases all raw material in their factory situated at Tijara, Rajasthan and transferred all manufactured goods in form of finished Goods by paying excise duty from balance of cenvat credit and service tax input to their H.O. cum sales depot situated at Delhi. Registration of Excise is only in Rajasthan not in Delhi. But sales tax registration are separate in Rajasthan and Delhi and X company filling their return separately in Rajasthan and Delhi. In Rajsthan Sales tax return only stock transfer is reflected on which CST is not payable. In Delhi sales tax return CST & VAT paid on interstate sales and Vat Sales. In my opinion following entries should be made in books of Tijara Factory and Head office Books.

In Books of Tijara Factory

1. Example when X Company purchase raw material for Rs. 1122/-

Purchase A/c Dr 1000
Cenvat Receivable 100
CST A/c 22
To Party A/c Cr 1122/-
2. When manufactured goods in form of finished goods transfer to H.O cum Sales Depot

H.O. A/c Dr 1100/-
To Stock Tranfer 1000/-
To Excise duty payable 100/-

3. Excise payable set off

Excise duty payable A/c Dr 100
To Cenvat Receivable A/c CR 100

In Books of H.O cum sales Depot

1. When stock received from Factory

Stock transfer A/c 1100/-
To Tijara Unit (Factory) 1100/-

(This stock transfer is the stock of Delhi Depot from which sales are made)

2. When Sales made from Sales Depot

Party A/c Dr 1100
To Sales Cr 1100

Sales price of product are inclusive of excise hence bill raised to Debtors are inclusive of excise .

1. Kindly suggest from the above entries how excise duty can be booked as expenses in books of Tijara Factory and Delhi sales depot where delhi sales depot not registered with excise department.
2. Trial Ledger of Tijara Factory & Delhi sales depot are separately and combined balance sheet will be made of X Company.

Kindly suggest your accounting entries on above referred transaction.

Thanks n regard

My querry is "Is there excise duty on sale of Iron ore and iron ore concentrate
the whole process is given below
We bring iron ore as waste dumps, lumps, ROM, fines and after processing we sell it in the form of c ore iron ore fines but this remains as iron ore only.
As per 4/2006 it is exempted from excise duty but any amendment later I am not able to understand if thier is excise duty PLEASE ADVICE

Dear All,

We have purchased tools & fixtures from our supplier and kept at there premises.Now he want to raise a invoice of tooling with excise duty.

Now my question is can we get the credit of excise duty?? as tool is still in there factory and we suggest him to charge excise duty proportionately on further dispatch of material made through tooling & fixtures.

i purchase a pattern on behalf of Local customer & I raised a separate bill for pattern to customer. can i charge excise duty on that

Dear sir,

we are manufacturer of ferro chrome and have imported some raw mat. during 2009-10,and taken credit of import duty.

now i wanted to know that whether we can use the same credit agnst excise duty payble.

Good Morning Sir,

I'm Bhargav, manufacturer of solar water heaters and I buy vacuum glasses from local dealers. Now that I want to increase my business and produce more I contacted a Chinese manufacturer and want to trade form him, So I would like to know what are the taxes applicable regarding the material and how smooth the process goes. Kindly please help me out as I don't know anything related to ex-im.

Hello,

If a manufacturer want to setup a warehouse outside the manufacturing facility for storage of input,
1. What is the best approach to ensure legal complaince.Is there any registeration involved with Excise [dealership/ manufacturing or any other]
2. How can CENVAT be availed upon receipt of goods at the warehouse.
3. What documents are required during transportation of goods from warehouse to factory.