Rate of Excise duty in case of Supplementary Invoice

[Sanjay Sharma]

Rate of Excise duty in case of Supplimentary Invoice

Dear Sir,

We are supplying the automobiles parts to an automobiles co. we had supplied some parts during the time of Jan- 2012 to March-2012, now automobile company has increased & amended the purchase order retrospectively the price of our parts supplied to them from  our co.

Now, we have to raise the supplementary invoice due to the rate revision for duty difference but, the rate of excise duty has been change from 10% to 12% from 17.03.2012.,   So if today, I want to raise the Excise invoice what should be the rate of Excise duty i.e 10 or 12%.

Pls. give your opinion on the issue with supporting rules, regulation, case law etc.

 

Regards,

Sanjay Sharma

AI Summary

Rate of excise duty at clearance applies to supplementary invoices; interest may be payable and cenvat credit available.
The applicable excise rate is the rate prevailing at the time of clearance (removal); retrospective amendments to purchase orders do not change the duty rate that applied on removal. Supplementary invoices do not amount to a new removal, though interest may be payable if duty is remitted late, and purchasers may avail cenvat credit on the basis of supplementary invoices.