Health food product
Querist :
Anonymous
(Querist) 27 September 2011
This query is : Resolved
If a person making Health Food Powder (since 5 years approx) and he is having all Licenses. (PREVENTION OF FOOD ADULTERATION, ACT 1954)
Please guide,
1. Whether above procedure comes under Excise or Service tax?
2. What should he do?
R.Ramachandran
(Expert) 27 September 2011
The activity indicated by you certainly does not fall under the category of "service" and as such would not attract service tax.
If you are making the product as a job worker for somebody else, then if the process does not amount to 'manufacture' then in that situation what you would be doing is a 'service' to the principal and as such the same may attract service tax under Business Auxiliary Service.
If you are making the product yourself, unless you indicate the exact process(es) / activities being done by you - it will not be possible to say whether it amounts to 'manufacture' or not. Even if it amounts to manufacture, unless you tell the annual turnover, it will not be possible to tell whether you come under Small Scale Industry and thereby eligible for exemption or not.
Therefore, you have to indicate the above information to get appropriate answer.
In any case, this being a commercial query, perhaps you would be better advised to seek an appropriate professional opinion from a lawyer.
ajay sethi
(Expert) 27 September 2011
the words used are making health food powder . my guess would be you are manufacturer . if you are a manufacturer you will be covered under excise law .
as advised by mr ramchandran be specific in your query . we have to do lot of guess work here
prabhakar singh
(Expert) 27 September 2011
Apart from the fact that your query is quite confusing,our services are not available to people who can afford.we simply provide guidance and a commercial establishment like yours can afford personal services of a lawyer,hence it is in your benefit that you get it on 1to1 basis.
If you desire and you are near or around Delhi, you may seek the services of Mr. R.Ramachandran ,who has good command in field you require services. You may get in touch with him visiting his profile.
Guest
(Expert) 27 September 2011
Manufacturing of any product would naturally fall within the scope of excise taxation law.
Sailesh Kumar Shah
(Expert) 27 September 2011
Section 5A (1) of the Central Excise Act, 1944 empowers the Central Government, in the public interest exempts excisable goods.
you are required to check that whether it exempt or not?
