Sale in Open Market, Central Excise

[DEEPAK SHARMA]

Dear Expert,

We are manufacturing Mobile Battery, raw material of Mobile Battery procured from outside country against Annexure-III without payment of whole of duties.

Recent budget impose excise duty on Mobile Battery and Charger @ 2% W/o CENVAT and 12.5 with CENVAT under condition No. 2 & 16 of Noti. No. 12/2012 dated 17/03/2012.

our sale of battery is in open market/replacement Mkt not to manufacturer of mobile. and we are paying Excise duty @2% on clearance. we are doing wrong or right? please advice

Posts / Replies

[Anish Goyal]

Yes, You are right.

Central Excise Duty is on manufacturing. IT has to be paid irrespective of type of buyer.