Go AD-Free with CAclubindia Pro and get Daily WhatsApp Updates. Subscribe Now!

Queary on excise duty

401 views 1 replies

asim jana

accounts head

205 Points Joined October 2010

Dear Sir, My company has a manufacturing unit in haldia. the company is manufacturing steel drums for IOCL. the raw materials of the products supplied by IOCL. we are just fabricated the raw materials and made drum for IOCL. my question is should we charge excise and service tax both on bill? can anybody charge the both tax on bill? this is very urgent. please reply. regards Asim jana

Replies (1)

Harshal

106 Points Joined June 2012

Dear Asim, You have to charge either excise or service tax on the bill... If its a manufacturing process, you have to charge excise or if its just labour charges you have to levvy service tax on bill... Prima facie it seems that activity carried on by you is a manufacturing process so you have to pay excise duty on the same... However if you are charging for only labour then service tax will be applicable to you... Regards CA Harshal Pahade Contact 9272344759