Question

Excise Duty is a tax levied on :

• A. Commodities that are exported
• B. Commodities that are imported
• C. Both the exported and imported commodities
• D. Commodities that are produced and consumed within the country

Answer 1

Answer:

D. Commodities that are produced and consumed within the country

• An excise or excise tax (sometimes called an excise duty) is a type of tax charged on goods produced within the country (as opposed to customs duties, charged on goods from outside the country). It is a tax on the production or sale of a good. This tax is now known as the Central Value Added Tax (CENVAT).