Current rate of duty for capital goods under chap 84 & 85

[ASHOK AMIN]

Dear Experts, please give me the current rate of duty for capital goods falling under chapter 84 and 85.

Regards.

[PAWAN KUMAR]

Dear Sir,

The rate of duty is 12.36% on goods of chapter 84/85 now. Earlier the rate of duty was 10.30% up to 31.12.2014.

[Guest]

Dear Pawan Sir,

This revised excise (12.36 %) doesn't mentioned on any website ..Actually from 2nd jan onwards i made all the PI's with this New excise duty.. and now customer wants a proof for it... what to do ? please help

[PAWAN KUMAR]

Dear Madam,

The rate of excise duty @10% was provided by the CBEC vide notification No.04/2014-C.E. Dated 17.02.2014 amending tariff rate at S.No.345 and 346 of Notification No.12/2012-C.E. Dated 17.03.2012 from 12% to 10%. The Initial reduction was up to 30.06.2014 which was further extended up to 31.12.2014.

Now the rate which valid up to 31.12.2014 has not further extended, Therefore the full rate@12%+3%Cesses (12.36%) will apply. you may refer the tariff rate.

[ASHOK AMIN]

Thanks Mr Pawan Kumar.

[DR.MARIAPPAN GOVINDARAJAN]

I also thank Mr. Pawan Kumar

AI Summary

Excise duty on capital goods reverted to full statutory rate after non-extension of the concessional duty. Excise duty on capital goods under Chapters 84 and 85 has reverted to the full tariff rate including statutory cesses, yielding an aggregate rate of 12.36%. A concessional 10% rate had been effective by notification until 31.12.2014; that concession was not extended, so the prior full duty (basic tariff plus cesses) now applies. Suppliers should charge and document the full duty and refer to the tariff schedule and amending notifications for authoritative support.