What is central excise tax in India?

A tax, known as the Central Value Added Tax (CENVAT), commonly referred to as excise duty, is levied on the manufacture and production of ‘excisable goods’ in India. This tax is levied under the Central Excise Act, 1944 (hereinafter ‘Excise Act’) and administered by the Union Government of India.

How many types of Central Excise taxes are collected?

There are three types of Excise Duties- Basic, Special and Additional.

How many taxes are there in India?

When it comes to taxes, there are two types of taxes in India – Direct and Indirect tax. The direct tax includes income tax, gift tax, capital gain tax, etc while indirect tax includes value-added tax, service tax, Good and Service taxm, customs duty, etc.

Which tax is levied by central government?

The Central Government of India levies taxes such as customs duty, income tax, service tax, and central excise duty. The taxation system in India empowers the state governments to levy income tax on agricultural income, professional tax, value added tax (VAT), state excise duty, land revenue and stamp duty.

What are cesses?

Cess is a tax on tax that is imposed by the central government for a particular reason. It is imposed before the government receives sufficient funds for that reason. A cess is distinct from other taxes such as excise duty and personal income tax in that it is levied in addition to the current tax (tax on tax).

What is the full form of VAT?

A value-added tax (VAT) is a consumption tax levied on a commodity whenever it adds value at any point in the supply chain, from production to sale. The amount of VAT that the consumer pays is based on the cost of the product, minus any previously taxable costs of products used in the product.

What kind of tax is VAT?

Value-added tax (VAT) is a type of indirect tax levied on goods and services for value added at every point of production or distribution cycle, starting from raw materials and going all the way to the final retail purchase. Because the consumer bears the entire tax, VAT is also a consumption tax.

Who is the father of tax?

He was awarded Padma Vibushan in 2007. He is often referred to as “The Father of Tax Reforms”….Raja Chelliah.

Which is union tax?

Definition: Union excise duty is a type of indirect tax on goods manufactured in India. Description: Union excise duties are levied in accordance with the rates mentioned in Schedule I and II of the Central Excise Tariff Act, 1985. The burden of taxation is, however, passed on to the consumers by the manufacturer.

Which is a part of Central Excise in India?

Service tax is a part of Central Excise in India. It is a tax levied on services provided in India, except the State of Jammu and Kashmir. The responsibility of collecting the tax lies with the Central Board of Excise and Customs (CBEC). Q 1. What are the major state taxes in India?

What kind of taxes are imposed in India?

The Central Government of India imposes taxes such as customs duty, central excise duty, income tax, and service tax. The state governments impose income tax on agricultural income, state excise duty, professional tax, land revenue and stamp duty.

Is it compulsory to pay excise duty online in India?

The Central Board of Excise and Customs, from 1 October 2014, has made it compulsory to pay service tax and excise duties online via netbanking for all Service Tax and Central Excise assessees.

What is the excise duty on petrol in India?

The central excise duty on petrol and the tax collected by the central government on fuel has increased by more than three times since 2014-15, even as crude oil price dropped to nearly half during the same period, official data analysed by CNN-News18 showed. The central excise duty on petrol in 2014 was Rs 9.48 per litre.