What is difference between Excise Duty & Custom Duty?

Difference between Excise Duty and Custom Duty is given below:

Excise Duty

According to Central Excise act 1944 and the Central Excise Tariff Act 1985, every manufacturer of the goods in the country has to pay Excise duty. Most of the products attract 16% excise duty But in case of some products it more than that.

Custom Duty

The custom duty in India is regulated by Customs Act of 1962. This duty is imposed on the imported and exported goods in the country. This duty is one of the most important duty because it hampers illegal import and export of goods.

Click here to Read more about Indirect Taxes in India

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Comments

  • Nagaraju
    Reply

    DEAR SIR,

    NOW I UNDER STOOD THE DIFFERENCE BETWEEN ]
    THE EXCISE DUTY AND THE CUSTOMS DUTY

    REGARDS,
    NAGARAJU K
    8884116049

  • ramesh
    Reply

    thanks a lot

  • Prabodh Mishra
    Reply

    Thanks for the short and clear meaning.

  • Chand
    Reply

    Dear sir,
    i little understood.but I want 2 more difference between excise duty and customs duty please

  • syed Navbjanm
    Reply

    My question is in the case of excise duty paid the debtor can able to take the input credit in the case of excise but what the tax that is custom duty imposed on the importer is treated for his account ?

  • syed Navbjan m
    Reply

    I mean to say that whether in the case of the party if he is a importer as well as exporter than whether he is able to take the input credit on the customs paid for the import or what? please clarify

  • RAMESH KUMAR E.
    Reply

    Sir, Just I want to know that we have to pay 20% excise duty and 20% customs duty for export of Bauxite.

    is sit correct please

  • PAVAN KUMAR
    Reply

    Thanks for easy definitions