Central excise duty on software

The court also negated the challenge in respect of levy and collection of National Calamity Contingent Duty NCCD vis-a-vis tobacco and tobacco products, saying that Article clearly provides that surcharge can be levied at any time to increase duties or taxes. The judge also added that as levy under Article is permissible even after introduction of Article A, the levy of surcharge tracing power under Article would still subsist even if the goods are subjected to levy of GST under Article A.

VS Industries and several other companies involved in manufacturers of tobacco and tobacco products had filed these petitions, contending that simultaneous levy of GST under Article A of the Constitution and levy of basic excise duty and NCCD under Article on tobacco and tobacco products is legally impermissible and discriminatory. The petitioners had also sought for a declaration that the repeal and saving provision as contained in section of the Central Goods and Services Act , CGST Act insofar as it seeks to save the operation of the Central Excise Act, in relation to tobacco and tobacco products as unconstitutional and bad in law.

The petitioners claimed that levy and collection of NCCD has been impliedly repealed with effect from July 1, i. Facebook Twitter Linkedin EMail. Looking for Something? The Govt. This tax is imposed on the manufacturing of goods. It is an indirect tax and collected from manufactures. This tax was first imposed on the manufacturing of cotton yarn in 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.

Disadvantages or demerits of Excise Duty. There is partial exemption to a few products. Although Excise duty is imposed by Central Govt. Indian Constitution has given rights to state government to impose and collect excise duty on intoxicants like Liquor, Bhang, Ganja, Opium etc.

Customized software and software packages downloaded from the internet will be exempt from this levy. Consequently the relevant entries in the First Schedule to the Central Excise Tariff has been amended and exemption granted by of notification no. If the finance minister was really intended to exempt the software downloaded from the internal from the duty of excise, what the problem in using the clear and unambiguous words?

Whether a software which is downloaded from the internet is not ready made or is not available from existing stock? If the legislature minister really wants to exempt the software downloaded from the internet and to avoid litigations on this aspect, a clarification must be issued giving the meaning of the expression used in the notification no.

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