TaxTMI 
TaxTMI 
Dear Sir,
Please advise on Exemption to Media containing recorded Information Technology Software in simple words from both point of view Excise and Service Tax.
Exemption to Media containing recorded Information Technology Software:
10 Mar 2016 
1 Reply 
1651 Views Asked by
Guest 
Classification of packaged software under excise: MRP valuation, abatement, and exemption where service tax is paid requires declaration.
Packaged recorded IT software is classified as recorded goods for excise and subject to Central Excise duty under the applicable tariff; MRP valuation rules apply with a prescribed abatement from declared MRP. If MRP marking is not required under weights-and-measures standards, Central Excise exemption is available for that portion on which Service Tax has been paid, provided a declaration stating Service Tax has been paid or is payable (including Service Tax registration number) is furnished to the assessing officer. (AI Summary)
Packaged recorded IT software is classified as recorded goods for excise and subject to Central Excise duty under the applicable tariff; MRP valuation rules apply with a prescribed abatement from declared MRP. If MRP marking is not required under weights-and-measures standards, Central Excise exemption is available for that portion on which Service Tax has been paid, provided a declaration stating Service Tax has been paid or is payable (including Service Tax registration number) is furnished to the assessing officer. (AI Summary)