Page 2 - Tax Regime for Improved Cookstoves and Its Implications
P. 2
TERI Policy Brief
Geographical spread of cookstove
manufacturers in India
(approved by MNRE)
N
HIMACHAL
PRADESH
Sirmour
New Delhi
UTTAR PRADESH
Faizabad
GUJARAT
Anand
Bay of Bengal
MAHARASHTRA Bhubhaneshwar
ODISHA
Nav Mumbai Pune Aurangabad
Osmanabad
KARNATAKA
Bengaluru
Figure 1: Geographical spread of cookstove manufacturers in India (approved by MNRE)
In India, a cookstoves manufacturer, has to deal with Import duty (if products and spares are imported)
the following set of indirect taxes and duties: Value Added Tax (VAT) (after sales to the dealer, if
Central Sales Tax (CST) (if the product is sold to a manufacturing is done in the same state)
dealer in other states)1 Road tax/ Way bill
1 C entral Sales Tax (CST) is a tax on sales of goods levied by the Central Government of India. CST is applicable only in the case of inter-
state sales and not on sales made within the state.
2 ISSUE 13 SEPTEMBER 2014
Geographical spread of cookstove
manufacturers in India
(approved by MNRE)
N
HIMACHAL
PRADESH
Sirmour
New Delhi
UTTAR PRADESH
Faizabad
GUJARAT
Anand
Bay of Bengal
MAHARASHTRA Bhubhaneshwar
ODISHA
Nav Mumbai Pune Aurangabad
Osmanabad
KARNATAKA
Bengaluru
Figure 1: Geographical spread of cookstove manufacturers in India (approved by MNRE)
In India, a cookstoves manufacturer, has to deal with Import duty (if products and spares are imported)
the following set of indirect taxes and duties: Value Added Tax (VAT) (after sales to the dealer, if
Central Sales Tax (CST) (if the product is sold to a manufacturing is done in the same state)
dealer in other states)1 Road tax/ Way bill
1 C entral Sales Tax (CST) is a tax on sales of goods levied by the Central Government of India. CST is applicable only in the case of inter-
state sales and not on sales made within the state.
2 ISSUE 13 SEPTEMBER 2014
