An excise tax refers to an indirect tax imposed while selling a particular product. Here indirect word refers to the tax which is not paid by an individual consumer directly. Instead, the tax is imposed by the Internal Revenue Service (IRS) on the producer or merchant, who passes the tax onto the consumer by adding it in the price of the product.
It is an inland tax on the sale, or production for sale of specific products or a tax on a commodity produced for sale, or sold, within a country or licenses for particular activities. Excises differ from customs duties, which are taxes on importation. Excises are usually imposed as well as another indirect tax like sales tax or value added tax (VAT). Excise tax registration is performed through One Click Business Solutions.
Following are the types of excise taxes that are in operation in India :
Basic excise duty - The basic excise taxes are imposed according to the First Schedule of the Central Excise Tariff Act, 1985.
National calamity contingent duty - It also refers to as NCCD and is applied according to the Section 136 of the Finance Act, 2001. It is applicable as an additional tax on some particular goods.
Special excise duty - The special excise taxes are levied according to the Second Schedule of the Central Excise Tariff Act, 1985.
Excise duties and Cess to be levied under Miscellaneous Act – These are additional duties.
Additional Duties of Excise (Textiles and Textile Articles) - This tax is imposed according to the Section 3 of the Additional Duties of Excise (Textiles and Textiles Articles) Act, 1978. The tax is computed at 15% of the basic excise duty that is being paid on earlier mentioned textile items.
Education Cess - The education cess is useful according to present law for excise taxes like the Central Excise Act 1944. These are additional in nature.
Additional Duties of Excise (Goods of Special Importance) - This tax is imposed according to the First Schedule of the Additional Duties of Excise (Goods of Special Importance) Act, 1957. The decisions about the special excise taxes are taken on a yearly basis by the Finance Act. As the tax completely deals with manufacturing of products, sale of the same is not considered as a compulsory necessity. In the case of excise taxes, the payment of duty is made for removal of goods. The following transactions and activities are considered as removal :
Transfer to a different unit
Transfer to depots
The Central Board of Excise and Customs (CBEC) are accountable to administer the laws that direct these laws. The CBEC (Central Board of Excise and Customs) itself is a component of the Union Ministry of Finance's Department of Revenue. Its major tasks are as follows :
Creating policies for obtaining and imposing central and customs excise duties
Handling Customs related matters, Narcotics and Central Excise consistent with the formerly set limits
Prevention of the smuggled commodities
Its subsidiary organizations have been specified as follows :
Central Revenues Control Laboratory
Central Excise Commission rates
Copy of PAN Card
Photocopy of voter ID card / Aadhaar card
Passport size photograph
Board Resolution for Authorised Signatory
Ground plan of premises
Photocopy of PAN card of Firm/Company
In the case of Partnership, photocopy of Partnership Deed is essential
Memorandum of Association / Articles of Association
Water/ Electricity / Telephone / Mobile Bill of business place
The liability of this tax comes on the consumer
It is imposed on production or manufacture of goods in India
It is payable during removal of goods from the place of removal
The tax is imposed on the value computed by the compulsory method.
It is imposed in the same form throughout India.
Making application – Our experts make suitable application for the clients who need to complete excise registration
Creating documents – We help making documents as par the needs of the authority in order to prevent cancellation or any other legal hassle
Submission of application – At our office, experts submit application to start processing of excise registration
Filing of application – Application is duly filed by us to facilitate fastest excise registration and prevent legal issues
Complete a Simple Form – This step is the beginning of the process. You need to fill the details as par a few questionnaire.
Sending Documents – Approximately 10 to 12 working days are required to complete this step. Scanned copy of all the essential documents is to be sent through mail.
Submission of Documents – This step needs 20 to 25 days. Your documents will be created by our professionals and dully filed with excise tax department
Work is done – Once excise tax registration procedure is completed, your work is done. However in this step, time may vary as par the government process.
We at One Click Business Solutions complete excise registration procedure in fastest turnaround time
At our office, we have a team of vibrant professionals with a lot of experience and they are in the same field for many years
We have many branches in India
You will get cost-effective services from us
If the producer or manufacturer who needs to take registration cannot apply for registration, a penalty up to duty of contravene products or Rs. 10,000, whichever is higher, can be levied and contravening goods can be taken away. Besides, imprisonment of up to 7 years (minimum 6 months) can be there.
The whole process is 100% online and you don't need to be present at our office for excise registration. You need to send a scanned copy of documents via mail.