Indirect Tax Laws - November 2016 MTP

Dev & Company is a manufacturing company. In the preceding financial year, the details of its clearances of excisable goods are as follows:Particulars Rs. (Lakhs) (i) (ii) Total exports (including for export to Bhutan Rs. 50 lakhs) Clearances of excisable goods without payment of duty to a 100% EOU 600 10 (iii) Job work under Notification No. 84/94-CE dated 11.4.94 50 (iv) Job work under Notification No. 214/86-CE dated 25.3.86 50 (v) Clearances of goods bearing brand name of National…

Pure Beverages Ltd. has removed the aerated water bottles without declaring the retail sale price under section 4A of the Central Excise Act, 1944. Discuss briefly how the retail sale price of these goods shall be ascertained. (4 Marks) (b) The CESTAT passed an order in case of Mr. Shyam holding that the activity carried out by Mr. Shyam is liable to service tax. Aggrieved by the said order, Mr. Shyam wishes to file an appeal against the said order.…

Co. Ltd. were engaged in the manufacture of „tarpaulin made ups‟. This was nothing but tarpaulin cloth prepared by making a solution of wax, aluminum stearate and pigments that were mixed. The solution was heated in a vessel and was transferred to a tank. Grey cotton canvas fabric was then dipped into the solution and passed through two rollers, whereafter the canvas was dried by exposure to sun. The tarpaulin made ups were prepared by cutting the cloth into various…

(a) How are the „incomplete or unfinished goods having the essential characteristics of finished goods‟ classified under the Central Excise Tariff Act, 1985? (4 Marks) (b) (i) The assessee received some taxable services from Ram. A formal contract was entered into between them. As per the terms of the contract, Ram had to bear all the taxes, duties and other liabilities in connection with discharge of his obligations. Subsequently, liability to pay service tax in case of such taxable services…

(a) What is the remedy available with the Department when the Central Excise Officer does not find the self assessment by the assessee in order? (4 Marks) (b) What is the place of provision of service in the following independent cases? (i) AB Trade Links of Hyderabad are appointed as commission agent by a foreign company for sale of its goods to Indian customers. In lieu of their services, AB Trade Links receive a fixed percentage of commission from the…

(c) Explain the doctrine of unjust enrichment with respect to refund of duty. (4 Marks) (a) What are the various methods of making verification of sureties? (4 Marks) How can a decision, order, summon or notice be served on the intended person under section 37C(1)(a) of the Central Excise Act, 1944? (4 Marks) (b) Determine whether the following services amount to continuous supply of service in the following independent cases:(i) MNO & Co., a firm of interior decorators, enters in…

(a) Enlist the amounts that are credited to the Consumer Welfare Fund set up under section 12C of the Central Excise Act, 1944. (4 Marks) (b) With reference to the Finance Act, 1994 and the rules made thereunder relating to service tax, state whether registration is required in case of the following persons or class of persons and if it is so required, what is the last date of applying for the registration: (i) An input service distributor who commenced…

(a) Canterbury Ltd. makes two products C 1 and C2, whose respective fixed costs are F1 and F2. You are given that the unit contribution of C2 is one. fifth less than the unit contribution of C 1, that the total of F 1 and F2 is Rs. 1,50,000, that the BEP of C 1 is 1,800 units (for BEP of C 1 F2 is not considered) and that 3,000 units is the indifference point between C 1 and C2…