Excise duty on a commodity is payable with reference to Its

(A) production
(B) production and sale
(C) production and transportation
(D) production, transportation and sale

Correct Answer : production
Question Asked : SSC Section Officer (Commercial Audit) Exam 2007
Explanation : An excise or excise tax (sometimes called a duty of excise special tax) is an inland tax on the sale, or production for sale, of specific goods or a tax on a good produced for sale, or sold, within a country or licenses for specific activities. Excises are distinguished from customs duties, which are taxes on importation. Excises are inland taxes, whereas customs duties are border taxes.
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