Excise Applicable for silvaasa, Central Excise

[Harshad Chaudhari]

Hi,

We are planning to deal with one Steel producer in Silvassa and procure some steel wires/bars from him. Since Excise Silvassa is Excise free zone, do i need to pay excise if we are taking material out of Silvaasa. We are asking supplier to deliver material to Gandhinagar and they are charging us 12.5% Excise on invoice amount. Please explain.

Posts / Replies

[KASTURI SETHI]

Sh.Harshad Chaudhari,

What do you mean by "Excise Free Zone" ? Whether area-based exemption or Special Economic Zone ? Area based exemption is also of different types. Whether 100% EOU ? You intend to buy steel wires/bars from a manufacturing unit in Silvasa under which type of Central Excise Free Zone it falls ?