Modvat credit scope: containers used to package inputs are not inputs, so no excise duty on empty containers. Containers and packing materials are not treated as inputs for Modvat; Modvat credit applies to duty on inputs only, not to containers even if the input ... Summary
Modvat credit scope: containers used to package inputs are not inputs, so no excise duty on empty containers.
Containers and packing materials are not treated as inputs for Modvat; Modvat credit applies to duty on inputs only, not to containers even if the input value includes container costs or duty is ad valorem, and therefore empty containers cleared from the factory are not liable to excise duty under Modvat.
Full Summary is available for active users!
Note: It is a system-generated summary and is for quick reference only.