We are ball bearings manufacturers and the tariff code for excise for ball bearings is 8482 and have registered ourselves under the same. The excise duty charged on this tariff article is ADV 12% plus cess.
However, some big companies manufacturing bearings deem it to be Auto Part Component and pay MRP Based excise duty with 33% abatement.
We are selling the bearings at around 50% of MRP, and few excise officers are pressurising us to pay excise duty on MRP basis, which will increase the price drastically affecting our business. Also, many of our contracts are inclusive of all duties and on such contracts we will be facing a huge loss.
On searching the internet I could not find bearings mentioned as auto component nor the list of items falling under MRP basis excise duty.
Please help me.
CAclubindia
