TAXJURIX | Central Excise

Central Excise

Central excise tax is indirect tax imposed by government on excisable goods which are produced within India. It is a major source of revenue for the government. It is a tax levied on the production of goods and not upon the sale of goods.

It is to be noted that excise duty is levied on excisable goods. Excisable goods are goods which are specified in the first or second schedule of Central Excise Tariff Act, 1985. Goods can be categorized as non-excisable in following situation

If goods are immoveable

If goods are non-marketable

If goods are not produced/manufactured in India

Any goods not specified in the first or second schedule to Central Excise & Tariff Act (CETA), 1985