Mr. A started a RO (Reverse Osmosis) plant in Tamil nadu. He supplies packaged mineral water can of 25 Ltrs.
A) Whether excise duty is attracted on manufacture of mineral water?
B) Assuming the turnover is Rs. 1 crore per annum, whether Tamil Nadu VAT applies for the sale?
C) Whether CST apply for interstate sale?
Dear Dinesh
Commodity code applicable to Water is 780 falls under fourth schedule which clearly says
water is exempt other than the following
1 Aerated, mineral, distilled , medicinal , ionic, battery, de-mineralised water and
2. water sold in sealed container
therefore mineral water sold in container is taxable. Since it is not appearing in first schedule Part B and C , it will be taxed at maximum rate of 14.5%
Since it is a taxable commodity and CST sales also will suffer a tax
Regards
Rajalakshmi.V
Dear Rajalakshmi,
Thank you very much.
What about the exice duty?
Commodity code applicable to Water is 780 falls under fourth schedule which clearly says water is exempt other than the following 1 Aerated, mineral, distilled , medicinal , ionic, battery, de-mineralised water and 2. water sold in sealed containe
what is the position of distilled water rate of tax , commodity code
R P S K & Associates
Nashik
CA Inter
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