Main types of central excise duty
- Basic excise duty u/s 5A
Its other name is CENVAT . If central govt. impose the tax with three rates one is merit rate 8% second is normal rate 16% and third is demerite rate of 24% . This basic duty distribute in union and state .These duty is not applied on tobacco and petroleum products.
Second special duty of excise
Specific duty is a surcharge on basic excise duty .
Addition duty on goods of specific importance
Addition duty is on same product with additional burden .