20 July 2012
A firm is registered with Excise Dept as a Manufacturer. It purchases Fabric & manufactures Bags. Now it wishes to Trade in Fabric. The Fabric will be sold in its original form i.e without any alteration.
1) Will a separate regn be required as a Dealer? 2) Suppose the firm pays Rs.10 as Excise Duty on the Fabric it purchases then will it simply pass this on to the next buyer or it will charge say Rs.12 & claim Rs.10 as set off?