Excised duty on branding

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This query is : Resolved

Yogesh Khemka (Querist)

08 January 2011 One of our client is importing some plywood sheets from Malaysia on which the client is paying Custom duty which includes CVD (in lieu of excise). These sheets do not have any brand on them. However, now our client wants to affix its own brand in these sheets, after they are imported into India.
Kindly advise if it would attract any excise duty....

CA Shailesh Kumar Bhagat

CA Shailesh Kumar Bhagat (Expert)

08 January 2011 If no manfcaturing process, no excise.

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Madhukar N Hiregange

Madhukar N Hiregange (Expert)

11 January 2011 Branding in normal course does not amount tomanufacture. However the chapter notes/ section notes at times deem some processes amounting tomanufacture under section 2 (f) (ii). Since there are no such deeming fiction for plywood for the process of branding there is no manufacture and the same wouldbe trading only.

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Yogesh Khemka

Yogesh Khemka (Querist)

11 January 2011 Thanks a lot Madhukar sir and Shailesh sir. Your reply was of great help to me...

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