excise duty


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Related to excise duty: Custom duty

Excise Tax

A tax on the manufacture or sale of a good or service over and above all other taxes paid on it. For example, a person may owe sales tax on the purchase of tobacco, but the state may also levy an excise tax on top of it. Likewise, one may owe both income taxes and excise taxes on a premature distribution of an IRA. See also: Sin tax.

excise duty

an INDIRECT TAX imposed by the government on a product, principally those such as tobacco, petrol and alcoholic drinks, the demand for which is highly price-inelastic (see ELASTICITY OF DEMAND). Governments use excise duties both as a means of raising revenue (see BUDGET) and as an instrument of FISCAL POLICY. See CUSTOMS AND EXCISE.

excise duty

an INDIRECT TAX levied by the government on certain goods, most notably tobacco, oil and alcoholic drink. Demand for these goods is price inelastic (see PRICE ELASTICITY OF DEMAND) so that duty increases, implemented as part of FISCAL POLICY, will not only raise government revenue but also leave customers with less money to spend on other goods. See TAXATION.
References in periodicals archive ?
The government had in 2016 hiked excise duty on ATF to 14 percent from 8 percent.
Among the taxes whose imposition is justified by non-fiscal reasons, excise duty deserves particular attention.
The World Health Organization (WHO) and all other world bodies recommend that 70% of price of the cigarette should be levied as federal excise duty in order to discourage smoking.
Subsequent to that excise duty reduction, the Union government had asked states to also lower VAT but just four of them -- Maharashtra, Gujarat, Madhya Pradesh and Himachal Pradesh reduced rates while others including BJP-ruled ones ignored the call.
However, excise duty will only be charged on tobacco if the buyer exceeds the current allowance of 400 cigarettes, in which case the passenger would pay 100 per cent excise duty on the additional only, Dubai Duty Free said in a statement.
There's no excise duty on balances of less than BDT100,000, Muhit said.
Justifying the government's decision to hike excise duty on petro products when their prices were low, Pradhan said, " Today, I am assuring this House that if there is a spectacular hike in the prices of crude oil, the government may decide to pass on this benefit of increase in excise duty to consumers." Pradhan said that after deregulation of diesel and petrol, public sector oil companies are taking decisions on their own.
The excise duty on 1000 cigarettes of JPGL variety (Gold Leaf) has been increased from Rs 21,610 to Rs 23,750 by Rs 2,140.
As of 2016, the excise duty on cigarettes will start increasing, pushing up cigarette prices.
Cuerton, 57, from Hainton Avenue, Grimbsy, pleaded guilty to the evasion of excise duty, as well as the possession of articles for use in fraud.
There will be no changes since the excise duty will rise to the set base rate, he said.
However four consecutive excise duty hikes in three months have reversed this.