Central Excise on manufacture of PET Bottle by a Liquor Company for captive use for filling liquor

[Ramachandran and Ramachandran Associates Subramanian]

A distillery  is also manufacturing PET BOTTLES for captive use of filling liquor. The entire production is utilised captively.  Whether there is any incidence of Central Excise on manufacture of PET BOTTLES ?

AI Summary

Distillery Challenges Central Excise Duty on PET Bottles for Captive Use; Debates on Registration Under Excise Act, 1944. A distillery manufacturing PET bottles for captive use in filling liquor is questioning the applicability of Central Excise Duty. One party argues that since liquor is not excisable under the Central Excise Tariff, the distillery is not liable for Central Excise Duty on the bottles. Another viewpoint suggests that Central Excise Authorities require payment of duties on manufacturing and captive use, recommending registration under the Central Excise Act, 1944. A third opinion concurs, noting that the presence of company logos on bottles necessitates excise duty payment, advising registration to avoid litigation.