BASIC EXEMPTION LIMIT FOR REGISTRATION IN EXCISE

[BAL KRISHAN GARG]

Dear All Members ,

One of my client in engage in manufacturing in ceiling fan blades , exhaust fan blades and during the current year he had sales nearly Rs.1 Crore . Whether he is liable for Excise Registration ?

What is the basis exemption limit for Excise Registration in terms of turnover ?

I will be highly oblidged please clarify the limit of non required Excise Registration comes under SSI .

Thanks

BKGARG

AI Summary

Manufacturers with Rs. 1 crore sales may not need excise registration under SSI rules; exemption limit is Rs. 1.5 crore. A client engaged in manufacturing ceiling and exhaust fan blades with sales of approximately Rs. 1 crore inquires about the need for excise registration. The discussion clarifies that under Small Scale Industries (SSI) regulations, the basic exemption limit is Rs. 1.5 crore for the current financial year, provided the previous year's turnover does not exceed Rs. 4 crores. If turnover surpasses Rs. 1.5 crore, the client must pay excise duty at a concessional rate up to Rs. 4 crore, after which the full rate applies.