TMI BlogCommercial invoice - chargiability of excise dutyX X X X Extracts X X X X X X X X Extracts X X X X ..... We have received an order for making of Die's from a customer of Austria. The customer will pay die cost in foreign currency. The above customer is asking from us to supply the cmponent from the above die to their supplier of India i.e. we have to supply the component to his supplier on form ARE-3 . Whether we can raise commericial invoice to customer of Austria and retain the die with us for pro ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... duction to give supplies to his supplier in India on form ARE-3 . Whether Excise Duty has to be charge on issuing invoice of Die. Also whether we have to amortize die cost on supplies. - Reply By Pradeep Khatri - The Reply = Dear Sir, You would have to amortise the cost of die in the assessable value and also would have to charge excise duty on that value. Further, no vat will be paid on the a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... mortised value, as the apex court has pronounced judgement in this regard. for this purpose you'll have to two ass. value one for calculating excise duty under Section 4 and other for sale of goods purpose. Regards, Pradeep Khatri, Consultant - Indirect Taxation, yagay@in.com - Reply By Rama Krishana - The Reply = Supply of components on ARE-3 appears that the same would be in the nature of exp ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ort. The making of dies are subject to duties of excise but since you are using such dies for the purpose of manufacturing of components, the same would be entitled to the benefit of notification no. 64/95 i.e. captive consumption and you would be escaped from payment of excise duty on such dies. Moreover since there is no physical removal of such dies from yours premises and used in export of goo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ds you are not required to pay excise duty. The issue of amortization is good since, the value is diminished on use of dies and whenever you would require to pay excise duty in future, the same amortization would help you determine the exact assessable value on which duty would be payable in future. - Reply By Prabhakar V - The Reply = The issue is the technical aspect of compliance of law. Hence, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... advise / decission is to be based on factual information with supporting documentary evidence. - Commercial invoice - chargiability of excise duty - Query Started By: - PRAVEEN BANSAL Dated:- 11-6-2009 Central Excise - Got 3 Replies - Central Excise - Discussion Forum - Knowledge Sharing, reply post by an expert, personal opinion Tax Management India - taxmanagementindia - taxmanagement - taxm ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... anagementindia.com - TMI - TaxTMI - TMITax ..... X X X X Extracts X X X X X X X X Extracts X X X X
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