Excise duty

Cenvat credit is a current asset a/c and it is to be adjusted against excise duty payable (on sales). It does not appear in P&L a/c

Excise duty paid on purchase bills can be taken as indirect expense ?

If cenvat credit is not availed, then it is part of purchase cost only (not indirect exp)

for example Rs.100 Excise duty. from purchase bills

Rs.10 ST from telephone bills

Balance Rs.90. shall we take this as indirect expense

U mean output service tax payable is Rs.10 & excise duty on purchase bill is Rs.100 and hence the balance credit balance in cenvat a/c. If so, since u have already utlized part of the cenvat credit, balance cannot be transferred to P&L as indirect exps. U can show the balance as cenvat credit under current assets. Hope this is clear.

what to do with excise duty paid on stock transfer invoice

u mean u have transferred goods to yr branch on stock transfer basis and charged duty on that? If so, it is your liability and need to pay to govt after adjusting any cenvat credit in the a/c. when such goods are sold from the branch, no need to charge ED again

Excise Duty Paid on Stock Transfer

To be shown as Indirect Expense ?

Excise Duty Paid on Stock Transfer

To be show as Indirect Expense ?