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Rebate: The provision to claim rebate is governed by Rule 18 of the Central Excise Rules,  

2001. As per the Rule, the rebate may be claimed for  

• Duty paid on inputs used in the manufacture of final products which are exported  
• Duty paid on final products which are exported  

An exporter may claim only one of the options out of two above.   

Generally second option is followed under which the manufacturer exporter can opt for rebate of excise duty paid on...

In budget 2015-16 One of the amendments made to rule 11(2) od central excise rules, 2002 by way of notification no. 8/2015 - CE (NT) dated 01.03.2015 applicable w.e.f 01.03.2015. The amendment as follows

“Provided also that if the goods are directly sent to any person on the direction of the registered dealer, the invoice shall also contain the details of the registered dealer as the buyer and the person as the consignee, and that person shall take CENVAT credit on the basis of the...

Introduction

Finance Minister announced for imposition of Clean Energy Cess as a duty of excise on coal, lignite and peat which come into force from 1^st July, 2010. Notification No.1/2010-CE (Clean Energy Cess) dated 22.06.2010 was issued for this purpose. Clean energy cess would be imposed on coal produced in India or when imported into India from other countries. This is in line with the principle of "polluter pays", which are the basic guiding criteria for pollution management.

Article 265 states that no tax shall be levied or collected without the authority of law. Further article 246 governs the subject matter of the laws made by the parliament and by the legislature of states. The matters are listed in the seventh schedule to the Constitution. The seventh schedule is classified into three lists:

1. List I: This list sets out the matters in which the parliament has an exclusive right to  make laws 
2. List II: This list enumerates the matters in respect of...

Job work is one of the important aspects that a manufacturer registered under Central Excise should be familiar with not just because it enables him to plan his processes in order to optimise the benefits available under the Central Excise Act, 1944 but would also enable him to cut costs on his manufacturing. This is so as the processes which pose problems or which are not cost-effective at his end [ due to economies of scale] can be sub-contracted or delegated to another manufacturer or...

Service providers / manufacturers avail various input services such as catering services, travelling services, insurance etc., which would be consumed by the employees. Such services would not be eligible for Cenvat credit when they are primarily consumed for personal purpose. However, consumption of these services purely for personal purpose would be rare and often these services are in relation to business of providing services or final dutiable products. In such cases, Cenvat credit...

Stock transfer of Goods to a branch or consignee is common in trade. Stock transfer can be both Intra & Inter state. A prudent businessman should plan the sales transactions with the option of stock transfers considering the VAT and CST provisions prevailing in the state. Planning such transactions is not a cakewalk as it involves many risks. Few of the points which should be considered in case of stock transfers along with the details of risk involved are discussed below.

INTRASTATE...

Under negative list based taxation, service tax is levied on service portion in an activity wherein goods, being food or any other article of human consumption or any drink (whether or not intoxicating) are supplied in any manner as part of the activity.  

Without getting into validity of ST levy on supply of food or drink, we have examined whether credits can be availed by hotel when it pays service tax on abated values of services?  

What is cenvat credit Scheme?

Cenvat scheme...

Discounts are very common in business. There are various types of discounts like trade discount, cash discount, quantity discounts, repeat customer discounts, end of year discounts etc. These discounts are allowed mainly to encourage customers to purchase more goods or to make early payments. It is necessary to understand the VAT impact on such discounts allowed.   

Though the VAT provisions are similar at large across the states, there are variances observed with respect to the...