Excise Registeration for a New Manf. Business

kamlesh s (Partner) (41 Points)

16 February 2011  

Hello ,


We are about to start a new corrugated box manufacturing unit in Bangalore.

We have registered as an SSI, also registered PAN,TAN, VAT,CST, KS&CE certificates.

We are waiting for our machines to arrive.

No material has been purchased or sold.

We have a copy of our customers purchase order(sample copy)

In their payment they have addes Basic Excise Duty-BED(4%) + Education Cess (2%) + S Cess(1%)+ VAT(5%)

Now from what I have read we don't need to register till we cross 1.4-1.5C turnover (Which we will within 5 months)

But we will not cross 400 lac limit in any year.

So what should the process be like ?

Do we start collecting the BED only after we cross 1.5C or do we keep collecting it throughout?

I'm an engineer and I don't know much about accounting as you can see. :)

Please let me know if you need any more information.

Thank you