Intermediate goods

This query is : Resolved

Amit Kumar Agarwal (Querist)
Follow

14 April 2010 A co. manufactures commodity X which is excisable. Commodity Y is the intermediate good produced during manufacture of Commodity X. Both commodity X & Commodity Y are excisable. As final goods are excisable vide notification No. 67/95 commodity Y becomes exempt. My query is whether excise invoice will be required to issue commodity Y for manufacture of commodity X although no tax involvement is there and commodity is not removed from factory.

Ritesh Goyal

Ritesh Goyal (Expert)
Follow

14 April 2010 As per your query it is appearing that comodity y is not used captively but produces as by product.

yes for captive consumption also you have to issue excise invoice with mentioning captively used and showing notification no. 67/95 on the face of the invoice.