Service tax on bottling charges

This query is : Resolved

Sachin (Querist)
Follow

28 January 2013 SIR,

KINDLY CONFIRME SERVICE TAX ON LEQUIR BOTTLING CHARGES IS EXEMPTED OR NOT IF EXEMPTED THEN PROVIDE A NOTIFICATION COPY.

REGARDS

SACHIN AGARWAL

CA bhargava

CA bhargava (Expert)
Follow

28 January 2013 what is meant by liquor botling charges., what is the transaction and service

Aashok Kumar Sharma online

Aashok Kumar Sharma online

(Expert)
Follow

24 July 2025 Hi Sachin,

Regarding **service tax on liquor bottling charges**, here is the clarification:

---

### Service Tax on Bottling Charges for Liquor

* Bottling charges for liquor generally fall under the category of **manufacturing or processing of goods**.
* As per **service tax law (pre-GST era)**, **manufacturing of goods is outside the scope of service tax**. Service tax is levied on services and not on manufacture or sale of goods.
* Therefore, **bottling charges (which are part of manufacturing/packaging of liquor) are not subject to service tax**.

---

### Relevant Notification / Circular

* The exemption is implicit as **service tax does not apply to manufacturing activities**.
* Specifically, there is no service tax on **"manufacture or processing of goods"** as per the Finance Act and Service Tax Rules.
* If the bottling is part of a **contract manufacturing process**, it is treated as manufacture and is not taxable under service tax.

---

### Important

* If the bottling charges are charged as part of a service contract distinct from manufacture (e.g., purely packing services separate from manufacturing), then they might attract service tax under **“packaging service”** (Service Tax Notification No. 30/2012-ST), unless otherwise exempted.
* However, in liquor industry, bottling is mostly considered a manufacturing activity.

---

If you want, I can help you draft a formal reply or help locate specific government notifications.

---

**Summary:**
**Liquor bottling charges are generally exempt from service tax as they fall under manufacturing and are outside service tax scope.**

---

Would you like me to find the exact text or notification for official use?

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now

Join the CA Students WhatsApp Community for ICAI Updates, Trending Courses & Notes!

Similar Resolved Queries

Unanswered Queries

Popular
Recent

Trending Online Classes

Direct Tax Laws & International Taxation May 26,Sept 26 & Jan 27

CA Arvind Tuli

Enroll Now
Audit Fast Track Recorded Batch For May 26,Sept 26 & Jan 27

CA Aarti Lahoti

Enroll Now
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English

CA Bhanwar Borana & CA Shubham Keswani

Enroll Now

view all classess

Meet our CAclubindia PRO Members

SARAVANAN PALANISAMY

GST Karimnagar state

Darshan

Krishnamohan Gangaraju

CA Bijo scaria

Subscribe Now

Service tax on bottling charges

Similar Resolved Queries

Trending Online Classes

Meet our CAclubindia PRO Members

Quick Links

Browse by Category

Latest Job Openings

Senior Executive

Manager- Finance and Compliance

GST CONSULTANT

GST CONSULTANCY

Accountant

CA Final

Article Assistant

Associate CA