Applicability of excise on ash solf free of cost

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

02 July 2014 we are into bussness of electricity generation. Dry & wet ash is generated during electricity genration.

We are selling dry fly ash after payment Excise @2%.As per The Ministry of Environment & Forests 20% of dry ash to be disposed off as free of charge.

1) Is excise is payable on dry ash sold as
free of cost.

Thanks
Ashok Sharma

Arun Kumar Singh

Arun Kumar Singh (Expert)
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03 July 2014 If you did disposed of the goods then duty will not be applicable but if you will supply to any one free of cost then duty will be applicable.