FEEDING BOTTLE NIPPLES

[Guest]

DO YOU KNOW ANY ONE THAT THE NEW BUDGET 2015 WHAT IS THE PRESENTAGE OF EXCISE DUTY ON BABY FEEDING BOTTLE NIPPLES. BEFORE THE BUDGET THE BRANDED NIPPLES EXCISE DUTY IS 2.06%.

[Rajagopalan Ranganathan]

Sir,

The rate of duty for nipples is 2% only from 1.3.2015. Education Cess and Secondary and Higher Education cess are exempted with effect from 1.3.2015 vide Notifications No.14 and 15 of 2015-CE dated 1.3.2015. Though the tariff rate has been increased to 12.5% subsuming the cesses there is no amendment to Notification No. 1/2011-CE date 1.3.2011 as amended. May be this anomaly corrected soon by the Government.

AI Summary

Excise duty on feeding bottle nipples remains unchanged despite tariff increase; cesses removed creating regulatory anomaly. The applicable excise duty for baby feeding bottle nipples remained at 2 percent from 1 March 2015; Education Cess and Secondary and Higher Education Cess were exempted by notifications issued on that date. Although the tariff rate for the item was increased and cesses subsumed into a higher consolidated rate, the notification specifically covering nipples was not amended, creating a discrepancy between the tariff schedule and the notification which requires administrative correction.