23 January 2016
WE ARE MANUFACTURING SAUCE UNDER TARIFF NO.210390390 & TAKING ABATEMENT 35% AS PER NOTIFICATION NO.11/2011 & CHARGE EXCISE DUTY 2% AS PER NOTIFICATION NO.1/2011. IN YOUR PREVIOUS REPLY YOU SAID THAT WE ARE ALSO CONCERN WITH NOTIFICATION NO.1/2011.& ABATEMENT IS NOT ALLOWABLE .BUT WE ARE PUZZLING BECAUSE NOTIFICATION NO.11/2011,ALSO MENTIONED 35% ABATEMENT ON SAUCE.
YOU ARE REQUESTED TO GUIDE WHY WE ARE NOT ABLE FOR TAKING BOTH ABATEMENT & CHARGING CONCESSIONAL DUTY 2%.
27 January 2016
Benefits under both the Notifications are available.
Both the notifications are different in the manner that 11/2011-CE (NT) provides for abatement% from the MRP for the purpose of Valuation i.e. arriving at Assessable Value for levy of Excise Duty, whereas Notification No. 01/2011 CE provides for Duty Rate on exempted goods without availing the CENVAT facility.
11/2011-CE (NT) : Meant for Valuation of Goods for levy of Excise.
01/2011- CE : prescribes the Excise Duty Rate % to be charged with condition of non-availment of CENVA
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