Printing on mugs.

This query is : Resolved

CA Sahil Sharma (Querist)
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25 February 2013 Respected Members my query is as under:

Is printing on mugs(like trees,kids,stars etc ,anything) amounts to manufacturing under the provisions of Excise Law and consequently liable to excise duty?

CA.Sourabh Sethia

CA.Sourabh Sethia (Expert)
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25 February 2013 As per the supreme court judgements Manufacturing means transformation into a new commodity commercially known as a distinct and separate commodity having its own character and use and name, whether be it the result of one process or several processes, manufacture takes place and liability to pay duty is attracted.

So here it seems that Mugs after printing are printed Mugs and before printing are plain Mugs (but no commercial Distinctness)

2. Mugs before & after printing
But the use remains the same

3. Only change in the name cannot regard that to be Manufacture

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CA Sahil Sharma

CA Sahil Sharma (Querist)
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26 February 2013 Thanks Sir,

I also have same point of view as there is no new commercially known commodity as we are not changing the use of of MUG. We are just making it more attractive to gain the market hence it is not a manufacturing as per the excise provisions.

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