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Excise duty on packing

Sachin Waje (Taxation Executive) (102 Points)

14 April 2014

Dear Sir,

We are traders, purchase material and sell the same after packing. We have to pay excise duty on packing material.

Regards

Sachin Waje

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5 Replies

kumar hattanna (Officer - Excise) (525 Points)
Replied 14 April 2014

Yes, packing, Repacking amount to deemed manufacturing, please check your threshold limit for payment of duty.

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Vivek Khakhkhar (Assistant Audit Manager) (201 Points)
Replied 14 April 2014

yes excise duty to be paid on packaging & forwarding charges.

CA Ankur Gupta (LLB Hons.) (Tax consultant) (56 Points)
Replied 15 April 2014

Mr. Kumar i need to clarify some doubts regarding the same query... I think some goods are mentioned in Sch iii of CETA . And packing ,relabelling etc. With change in price of those goods only dealt with manufacture.. And liable for excise... Are all packings of goods liable for excise. Pls clear the same...

Sachin Waje (Taxation Executive) (102 Points)
Replied 15 April 2014

Dear Sir,

Packinng of good for trading purpose not for manufacturing.

Regards

Sachin Waje

Harendra Kumar (Tax Advisor ) (1326 Points)
Replied 28 April 2014

Sir,

In this regard both options have you i.e.

if you are registered with the Central Excise Department as a trader then you have to pay the excise duty and not eligible Cenvat credit.
If you are registered with Central Excise Department as a manufacturer then you are eligible for paying Excise Duty and to be take Cenvat Credit on it.

Further you having other queries in this regard plz forward the same.