Query on Excise of ca final

Final 442 views 5 replies

Sushant Lohani

CHARTERED ACCOUNTANT

1051 Points Joined April 2008

1)Suppose the assessee has paid excise duty at 20.6% when the price cum duty was Rs 196350.Subsequently, it was found that the rate of duty was in fact 30.9% and the assessee has not collected anything over and above Rs 196350.So what will be the Assessible value. Is it a)196350/1.309 or b)196350/1.206 I think it’s second option, but am not sure. Plz clarify.

2) Om Ltd made the following clearances of fans(notified under 4A) manufactured by it during april,may 2009.

Unit cleared Date of removal RSP declared p.u.

4000 15 aprl 1500

5000 29 apr 1400

10000 1 may -

1000 10 may 1600

12000 31 may 1550

What will be the consequences and the RSP resulting from this: When fans were removed without declaring RSP value on 1.5.2009. Is the answer 1600rs or Rs 1400 and why?

Replies (5)

Sushant Lohani

CHARTERED ACCOUNTANT

1051 Points Joined April 2008

plz answer it or pm me.

Jagjeet singh sahney

70 Points Joined February 2010

1.in the first question you are correct the second option is correct i.e. 196350/1.206

2. the retail sale price closest to the date of sale shall be considered the R.S.P. i.e. Rs 1400

ravi.

article trainee

424 Points Joined February 2009

in the first answer - the anwser will be the first option i.e. A) 196350/1.309

and in the second - it will be Rs. 1400 as it is the nearest date to the date of removal..

CA Manish K Dhoot

CA B. Com NCFM CPCM

5015 Points Joined February 2008

In 1st the answer is A) 196350/1.309

Nilesh

97 Points Joined January 2009

1) in the first answer - the anwser will be the first option i.e. A) 196350/1.309

2) in the second answer - The electric fans shall be liable to confiscation. Further, as per Rule 4 of the aforesaid rules, the RSP of electric fans removed on 1-5-2009 shall be the RSP declared on the packages of identical goods (here, electric fans) cleared during one month before or after 1-5-2009. The highest of the said declared retail sale prices shall be taken. Since the fans have been cleared during April 2009 as well as May 2009 at different prices, therefore, the highest i.e. Rs. 1,600 will be the RSP of fans removed on 1-5-2009.