Central excise

Hi Bikash,

Please specify your relationship with A LTD.

whether it is a Employer to Employer Relatioship OR Employer to Employee relationship. 

Whether A Ltd have any control or supervision power upon you ??

A LTD. IS OUR CUSTOMER. WE GET ODER FROM THAT COMPANY AND WE MANUFACTURE GOODS AS PER THEIR MOULD SPECIFICATION AND THEN WE SELL THAT GOODS TO A LTD. NO ANY RELATIONSHIP.

RULE 6.  Where the excisable goods are sold in the circumstances specified in clause (a) of sub section (1) of section 4 of the Act except the circumstance where the price is not the sole consideration for sale, the value of such goods shall be deemed to be the aggregate of such transaction value and the amount of money value of any additional consideration flowing directly or indirectly from the buyer to the assessee.
     Explanation 1 - For removal of doubts, it is hereby clarified that the value, apportioned as appropriate, of the following goods and services, whether supplied directly or indirectly by the buyer free of charge or at reduced cost for use in connection with the production and sale of such goods, to the extent that such value has not been included in the price actually paid or payable, shall be treated to be the amount of money value of additional consideration flowing directly or indirectly from the buyer to the assessee in relation to sale of the goods being valued and aggregated accordingly, namely : -

       Explanation 2. - Where an assessee receives any advance payment from the buyer against delivery of any excisable goods, no notional interest on such advance shall be added to the value unless the Central Excise Officer has evidence to the effect that the advance received has influenced the fixation of the price of the goods by way of charging a lesser price from or by offering a special discount to the buyer who has made the advance deposit.
Illustration 1. - X, an assessee, sells his goods to Y against full advance payment at Rs. 100 per piece. However, X also sells such goods to Z without any advance payment at the same price of Rs. 100 per piece. No notional interest on the advance received by X is includible in the transaction value.
Illustration 2. - A, an assessee, manufactures and supplies certain goods as per design and specification furnished by B at a price of Rs. 10 lakhs. A takes 50% of the price as advance against these goods and there is no sale of such goods to any other buyer. There is no evidence available with the Central Excise Officer that the notional interest on such advance has resulted in lowering of the prices. Thus, no notional interest on the advance received shall be added to the transaction value.

https://www.cbec.gov.in/excise/cxrules/cx-rules-valuation.htm

Hello Bikash,

I think ur problum is solved after the reply by Mr. U S Sharma. His reply is sufficient & complete. but still u hv any problem, specify it.

THANKS TO ALL MY SENIORS AND FRIENDS FOR SUCH A GOOD SUPPORT.

BUT STILL THERE IS SOME DOUBT BECAUSE I RECEIVED A SHOW CAUSE FROM CENTRAL EXCISE REGARDING FREE SUPPLY OF GOODS TO US. AS PER THE TENDER, A. LTD. WILL GIVE US STICKER, LABEL & MOULD AT FREE OF COST WHICH WE WILL BE ATTCAHED TO OUR MANUFACTRUING PLASTIC BAGS AND THEN SOLD TO THE A. LTD. BUT C.E. DEMANDING DUTY ON FREE SUPPLY. BUT AS PER OUT TERMS AND CONDITION WE SHOULD CHARGE TWO DIFFERENT RATES FOR WITH LABEL AND WITOUT LABEL. SO PLEASE JUSTFY ME WHETHER WE ARE CORRECT IN NOT CHARGING DUTY ON FREE GOODS. MOREOVER, THE DIES & MOULD SUPPLIED BY THE PARTY ARE RETURNED BACK TO THEM AS PER THE CONTRACT, AFTER THE CONTRACT IS OVER. WHAT SHOULD BE THE TREATMENT REAGRDING ABOVE?

Department is right

if you have rate diff between with and without customer supplies, then fix the same as diff on customer supplies.

dies and moulds have its own working life, which should be divided into total period of use, ( in your case department will fix that dies was used 100% during the period of 5 years and useless after that), so total value of dies should be added to your sales over 5 years.

HELLO SIR,

                          I WANT TO KNOW MY ASSESSEE CODE ON ONLINE EXICE DUTY THIS IS A MY PAN NO. AAIPI12961. HOW, 

Originally posted by : SHAFIQ
	HELLO SIR,                             I WANT TO KNOW MY ASSESSEE CODE ON ONLINE EXICE DUTY THIS IS A MY PAN NO. AAIPI12961. HOW,

look into 

1) your aces account by clicking ST-2 ( view REG)

2) into physical copy of your RC

3) contact your range officer

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beforehand i request you to recheck your data at your hand before asking any query to anybody, as the pan no posted by yourself is not a valid number.

can any body explain about steel trader who keeps the stock in common warehouse, where the trader has to take excise registration for the trading activity?

If the trader is cutting steel plates also in his own premises not in the ware house does the cutting of plates will be clubed with excisable trading activity? 

please mail your answers to ashpint_79 @ yahoo.com

Ashish Shah