Suppose a manufacturer whose set up in india import certain parts/items & assemble along with indegenious parts to produce an equipment,then what is the tax leived to the purchaser/End user.
Abinash Mishra (Others) (60 Points)
10 January 2014Suppose a manufacturer whose set up in india import certain parts/items & assemble along with indegenious parts to produce an equipment,then what is the tax leived to the purchaser/End user.
NOUFAL
(ACCOUNTANT)
(762 Points)
Replied 12 January 2014
the customs department will levied the customs duty at the time of import. It can take credit when the excise duty payment for assembling the part for produce new one (cenvat credit). The seller will collect the sales tax amout from the enduser. and paid to goverment. The importer will pay full amount of tax he have no input in vat.
Deepak Mathran Goyal
(Tax Assistant and Senior Auditor)
(22 Points)
Replied 13 January 2014
Thats right input credit of excise will be taken but no credit will be taken on addition duty on import
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