% of excise duty on coal ash

[Guest]

Dear Sir,

I would like to know the % of excise duty to be paid on the Coal Ash.

Thanks

[YAGAY andSUN]

It gonna be 2%.

[Guest]

Dear Sir,

Kindly give me any circular or notification or any other documents to this effect.

[YAGAY andSUN]

Circular No. 386/1/98-CX. dated 7/4/98 F.No. 117/1/97-CX.3 Government of India Ministry of Finance Department of Revenue Central Board of Excise & Customs, New Delhi Subject: Levy of Excise duty on Coal Ash (Cinder) w.e.f. 23.7.1996-regarding. Fly Ash/ Coal Ash (Cinder) were exempt from Central Excise duty vide Notification No. 76/86 dt. 10.2.1986. In the Budget 1996-97, Notification No. 76/86 was amended vide Notification No. 11/96 dt. 23.7.1996. consequent to which "Cinder" was deleted from the Schedule to Central Excise Tariff Act, 1985. 2. It has been reported to the Board that there is a doubt regarding Excisability and rate of Excise duty chargeable on Coal Ash (Cinder) subsequent to 23.7.1996 i.e. the date of issue of Notification No. 11/96. 3. The matter has been examined by the Board. In the instant case Coal Ash (Cinder) is specified in the Schedule to Central Excise Tariff Act, 1985, this read with Section 2(d) of CETA, 1985, would render Coal Ash (Cinder) an "excisable goods". The commodity also satisfies the tests of marketability and has a distinct commercial identity know to the trade. 4. It is therefore, clarified that Coal Ash (Cinder) is an excisable commodity classifiable under Heading No. 2621.00 and is chargeable to appropriate rate of duty. You are requested to ensure proper realisation of Excise duty on the same within your Commissionerate for the period subsequent to 23.7.1996. 5. All pending disputes/ assessments on the issue may be settled in the light of these guidelines. Sd/- (Renu K. Jagdev) Under Secretary to the Govt. of India --------------------------------------------------------------------------------

 Kindly also refer the Notification No. 6/2010-CE dated 27-02-2010 and Tariff Heading 2621. The rate would be 10%.

[sv bhasker]

I understand Coal ash is nothing but fly ash. If so please see Notification No.1/2011-CE dt 1.3.2011 (sl.No 26) as amended by 16/2012-CE 17.3.2012. The rate of duty is 2%

AI Summary

Excisability of coal ash affirmed; classified under tariff heading and subject to varying excise duty rates. Coal ash (cinder/fly ash) is an excisable commodity meeting marketability and commercial identity tests, classifiable under the Central Excise Tariff heading for mineral residues; revenue officers were directed to realize excise duty and to settle pending disputes accordingly. Subsequent notifications amended applicable duty rates over time, with later notifications and amendments indicating a reduction to a lower rate for coal ash identified as fly ash, and earlier instruments indicating a higher rate.