We are manufacture of excisable goods.The company now intends to remove the goods from the factory without paying duty on the ground that we will not avail input credit on purchase.
My query is-
1.Whether we can remove the goods without payment of duty on the above ground.Is there any provision in the Excise Law for the same.
2.Is there any provision in the Excise Law where the Company can maintain simultaneously two godowns with a partition wherein one godown is used for Excisable goods and the second one is used for non-excisable goods.
Your immediate reply on the above matter will be highly appreciated.
16 January 2010
Whether one avail the credit or not manufacture and removal occassions duty payment. However removal of non excisable goods is not liable to duty. Separate godowns ( maybe demarkated within the same also) is permissible.