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Issue ID: 111701
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Clarification regarding excise indicated by supplyer in invoice

Date 28 Mar 2017
Replies 2 Replies
Views 1285 Views
Excise duty liability questioned where supplier's invoice shows customs and excise deductions, asking if buyer must account to tax authorities.
Buyer of alcoholic beverages received an invoice showing deductions labelled customs duty debited to your SFIS and excise duty paid by you; both parties are in Delhi. The buyer asks whether those deducted amounts create an obligation to pay or report tax to the department. The invoice also records VAT and tax collection at source, and the buyer later clarifies the excise entry refers to Delhi State excise while the SFIS reference remains unexplained. (AI Summary)

Sir,

While making invoice by our supplyer showing in invoice like as follows

1) Customs duty debited to your SFIS..

2) Excise Duty Paid by you..

We purchasing alchohol beverages from that party

Our place of business in delhi

supplyer also situated in delhi.

My doubt is whether we are liable to pay tax to dept regarding amount showed by the supplyer as a deduction from total amount....

Invoice
Particulars Rate Quantity Amount
Mount Gay Rum Eclipse-700 Ml 1015 (Inclusive of excise) 3 bottiles 5553
Customs Duty 1066.56
Total 6619.56
Vat @ 20% 1323.912
Total 7943.472
TCS @ 1 % 79
Total 8022.472
Less: Customs duty debited to your SFIS account 1066.56
Less: Excise Duty Paid by You 2508
Total 4447.912
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