We have received Goods for Repairs in month of Jan-16 with Excise Invoice and rate of duty is @12%+3%
Now same Goods we have to clear on today What is a rate of duty to be charged. i.e. @12%+3% or @12.5%
Please note there is no additional cost since Goods is in Warranty Period.
Excise Duty Rate for Repaired Goods: Apply Original 12%+3% or New 12.5%? Consider Returnable Gate Pass Status. A query was raised about the applicable excise duty rate for goods received for repair in January 2016, originally taxed at 12%+3%. The goods are now being cleared, and the question is whether to apply the same rate or a new rate of 12.5%. One response clarified that since repairs do not constitute manufacturing, the original duty rate should apply. Another response suggested checking if the goods were received under a returnable gate pass, which would mean no tax was initially charged. (AI Summary)
TaxTMI 
TaxTMI 
TaxTMI 
