Inter plant transfer

There are number of plant of a company under single registration :

1) in case of sale of material by one plant to another plant , whether excise duty is payable ?

the material will be used by other plant for manufacturing of final product

2) in case of sale of scap to other unit, whether excise duty will be applicable

 

 

Replies (2)
1. If premises of all plants are mentioned in RC or intimated to deptt, no ED payable 2. If above case exists, scrap will be come under captive consumption, ED payable at the times of issue to production If above scenario doesnt exist ED payable on clearance of scrap from plant

No need to pay excise duty if both unit in the same premises. If goods will be remove outside factory then duty will be payable. 

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