What is excise duty in India?
An indirect tax paid to the Government of India by producers of goods, excise duty is the opposite of Customs duty in that it applies to goods manufactured domestically in the country, while Customs is levied on those coming from outside of the country. …
What is difference between excise duty and custom duty?
While excise duty is levied on goods produced or manufactured within the country, custom duty applies to the goods that are sold in India but were produced in a different country. Excise duty is to be paid by the manufacturer of the goods and not by the consumer. Custom duty is to be paid by the importer of the goods.
How does excise duty work?
An excise duty is a type of indirect tax that is levied on the sales of particular goods. This tax is not paid directly by the customer but is passed on to the consumer by a merchant or producer of goods as a part of the price of the product.
What is GST supply?
What is supply under GST? Supply includes sale, transfer, exchange, barter, license, rental, lease and disposal. If a person undertakes either of these transactions during the course or furtherance of business for consideration, it will be covered under the meaning of Supply under GST.
What is central state tax?
Central Sales Tax (CST) is a tax on sales of goods levied by the Central Government of India. CST is applicable only in the case of inter-state sales and not on sales made within the state or import/export of sales. CST is administered by Sales Tax authorities of each state.
What type of tax is excise duty?
Excise duty is a form of indirect tax that is levied by the Central Government of India for the production, sale, or license of certain goods. Excise duty charges are also collected by state governments for alcohol and narcotics. Note: Excise duty has been replaced by the Goods and Services Tax(GST) w.e.f. 1 July 2017.
Is Central Excise inspector a good job?
A central excise inspector position under the CBEC is a powerful and reputed position. Consequently, it is one of the most preferred positions offered in the SSC CGL exam.
Are there different types of excise duty in India?
Before GST kicked in, there were three kinds of excise duties in India. Basic excise duty is also known as the Central Value Added Tax (CENVAT). This category of excise duty was levied on goods that were classified under the first schedule of the Central Excise Tariff Act, 1985.
How much does Central Excise Duty earn per year?
For the proper implementation of excise duty, Central Excise Duty Act, 1944 and central Excise Tariff Ac, 1985 are applicable which is also known as CEAT. At present this tax is applicable on various types of goods covered under 20 sections and 96 chapters there of and approximately it earns Rs. 2 lac crores per year.
How is Central Excise used to collect taxes?
The administrative machinery of central excise is used to collect those taxes. Provisions of Central Excise Act and Rules have been made applicable for levy and collection of Central duties cesses. Other duties related to excise duty are as under – A. Education Cess on excise duty: In case of excise duty, calculation of cess is easy.
Which is the rate of excise duty under CEA?
A. Basic Excise Duty: Basic duty of excise levied under Central Excise Act, Basic excise duty (also termed as Cenvat as per section 2A of CEA) is levied at the rates specified in first schedule to central Excise Tariff Act. The general rate of Excise Duty is 12% and 3% education cess there on So, at present normal excise rate is 12.36%.