The EOU Code
NETIZENS may recall the case relating to third time cess we carried recently? ().
The Tribunal held that once education cess is added to the customs duties to arrive at the aggregate of customs duties, the question of charging education cess again does not arise. This has led to an interesting issue. Do the EOUs need to pay the education cesses on Customs and CVD parts under the respective account heads? This is the question raised by many EOUs and it appears that the entire duty has to be paid under the account code for Central Excise Duty only. The Tribunal in the above case has clearly held that “once the duty rate is enhanced with inclusion of the cess, it is part of the relevant type of the duty”. But many filed officers may not accept this and a clarification would be helpful to all concerned.