Cvd imposed in customs and excise

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Querist : Anonymous (Querist)

30 August 2012 Cvd is imposed in customs and excise on which basis

RAMESH KUMAR VERMA

RAMESH KUMAR VERMA (Expert)
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01 September 2012 CVD equal to excise duty is payable on imported goods u/s 3(1) of Customs Tariff Act to counterbalance impact of excise duty on indigenous manufactures, to ensure level paying field.

· CVD is payable equal to excise duty payable on like articles if produced in India. It is payable at effective rate of excise duty.

· General excise duty rate is 10.30% w.e.f. 27-2-2010 (10% basic plus 2% education cess and SAH Education cess of 1%).

· CVD is payable on assessable value plus basic customs duty. In case of products covered under MRP provisions, CV duty is payable on MRP basis as per section 4A of Central Excise.

· CVD can be levied only if there is ‘manufacture’.

· CVD is neither excise duty nor basic customs duty. However, all provisions of Customs Act apply to CVD.

further info:
https://www.caclubindia.com/experts/counter-veiling-duty-cvd--83046.asp#.UEGkmKA-1tg