finished goods removal

[venkat eswaran]

Sir/ MAdam,

we are paint mfg indsutry. now we plan to buy outside and wants to sell with our brand name. we want to procure with our brand name and send to our customer as such. whatever the excise duty our supplier chrgd we can chrg to our customer. is it possible? just buying and selling . we also involve production of our own paint also. is it within excise rules and procedure? kindly help thro ur valuable suggesstions.

venkat

 

[YAGAY and SUN]

You may pass on such duties to you customer  by issuing your excise invoice.

[venkat eswaran]

Pradeep sir thanks for ur reply,

i need one clarification. we have Centrail excise registration for mfg of paints. with that licence whether we can able to do trading job as u said to pass on the duty to our customers. in that case etrax books like RG23 D we have to maintain? as a delaer?

[YAGAY and SUN]

You may have to get the Trading Regisration Certificate.  Please also discuss it with your jurisdictional Central Excise Department or seek an advance ruling, if required?

[Shrikant Joshi]

You are doing two activities 1) Manufacturing 2) Trading in same premises.  Now first you have to take two actions as First allocate specific area along with with separate entrance  for trading activity, apply for Excise Registration for trading activity.  You have to maintain separate records for trading activity and operate as per trading procedures.

You can continue existing procedure in respect of manufacturing activity

AI Summary

Trading registration requirement: manufacturers selling third party goods under own brand must obtain separate excise registration and records.
An excise invoice may be issued to pass on duty charged by a supplier, but trading in third party finished goods requires a Trading Registration Certificate or separate excise registration. If manufacturing and trading occur on the same premises, allocate a specific area with a separate entrance for trading, maintain separate records and operate under trading procedures, and continue existing manufacturing records; preserve registers such as RG23D as applicable.