Issue of Excise Invoice to distributors

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This query is : Resolved

Sapna M (Querist)

28 May 2011 X, a foreign Co. in Korea, a manufacturer of accessories of machinery.
Y, its Subsidairy in India, imports Goods from X Co. for sale of the same to its Distributors in India without any modification.
Can Y Co. issue Excise Invoice to its distributors?????

B R Ramesh

B R Ramesh (Expert)

28 May 2011 Hi

If the Y co registerd under EXCISE
he can issue the 1st stage dealer invoice to the distributors by passing the CENVAT amount to the dist.

Then there is no further liability of excise in the hands of Y.

IT IS ONLY PASSING ON THE DUTY

Sapna M

Sapna M (Querist)

28 May 2011 but as per my knowledge, excise duty is payable only when goods are further processed. But in this case, Y co. is not processing it further, so can he issue excise invoice to its distributors? & if so plz mention the statutory reference

U S Sharma

U S Sharma (Expert)

20 June 2011 1) Y has to get himself registered under Excise as "importer dealer"
2) Y can issue cenvatable "dealer's invoice, for CVD+ECess+S&HSECess portion of the import bill to next buyer, under dealer's invoice.

(CVD is equivalant to excise duty)

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