Are Excise & CST applicable on Packing Charges?
CST ON PACKING CHARGES
Hetal Patel
Packing Charges Subject to Excise and CST; Check CST Act Section 2(g) and 2(h) for 'Sale' and 'Sale Price' Definitions. A discussion on a forum addressed whether Excise and Central Sales Tax (CST) are applicable to packing charges. One participant affirmed that both Excise and CST apply to packing charges. Another participant requested guidance on specific clauses from the CST Act to convince a customer who disagreed with this application. The response advised reviewing the definitions of 'Sale' under Section 2(g) and 'Sale Price' under Section 2(h) of the CST Act for clarification. (AI Summary)