Excess Excise Duty Pass on by Dealer

[Tarun Tyagi]

Dear Concern,

We are a first stage dealer for excisable goods and we have passed on excess excise duty to our customer what we have received originally from manufacturer.

  Please suggest us corrective action/obligation of excise department.

Rgds,

Tarun

AI Summary

Dealer Seeks Guidance on Correcting Excess Excise Duty Passed to Customer; Clarification on Central Excise Act, 1944 Procedures A first-stage dealer in excisable goods inadvertently passed on excess excise duty to a customer, originally received from the manufacturer, and seeks guidance on corrective actions. A respondent advised notifying the jurisdictional superintendent, re-crediting the excess duty to the customer, issuing a credit note, and adjusting the RG23 D register to show no impact. The original manufacturer can then reclaim the excess duty through CENVAT. Another participant questioned the absence of such procedures in the Central Excise Act, 1944, to which the respondent clarified that the solution is a logical approach not explicitly outlined in the Act.