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Are sellers aware about their central excise liability ?
#1
Hi,

Recently snapdeal has introduced new listing limitation on sellers , sellers can list products on snapdeal only if they have a trademark or brandname certificeta (or have applied for registration).

Now as per government of India rules altering the state of a product (like applying a brandname or applying MRP sticker on it) makes that person liable to pay excise duty to the government(duty varies from 10-30% depending on the product).

So that means if I buy an apple to sell from the farmer (just for example , agriculture is non exciseable), and sell it as an apple I dont have to pay excise duty as I am not the manufacturer. But If I were to sell the apple as abc-brand-apple (as per new snapdeal law) I would be liable to pay excise to the government since I will be a deemed manufacturer.

I have consulted a couple of ca's reg the same and they share the same opinion.

I would request sellers to consider this liability before selling under their brand name online
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#2
What if we do not sale with MRP tag ?

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#3
then you are in violation of the weights and measures department requirements
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#4
Selling products without MRP tag is punishable act.
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#5
Its like this Ha bola to haath katega and naa bola to naak katega .... sellers are truely between a rok and a hard place
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#6
This could be to an action point from Snapdeal to force sellers to mention actual MRP worth of the product instead of un realistic MRP


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#7
No, this is a try by snapdeal to put a shot in their own foot
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#8
All jewellers are facing problems due to this excise rule.

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