Hi Friends,
I had a query. One of our compay is engaged in menufacturing SIM cards and personalization of banking cards.
They are the importer cum Traders of these products also and are registered under Excise and Service tax since personalization is a taxable service.
The recent situation is that they are importing Blank Plastic Cards for there customer (Say Rs10/-) from US to their Delhi Warehouse, from there they are Invoicing Plastic cards to their customer in Delhi. On the sales Invoice Bill-To is the Customer and Ship to is there Factory in Gurgaon where they will do personalization (Say Rs 5/-) and send back to the customer at Gurgaon.
My question is since the process amounts to manufacturing. What will be the Value for calculation Escide Duty.
On Rs. 5/- or o Rs. 15/-
If they are importing directly to their factory and selling the fully personalized card. The excise is payable on Rs 15/-
CAclubindia
