Excise duty is commonly referred to as Central Excise duty in India. It is ‘Central’ because it is a tax levied by the Central or Union Government as opposed to State Excise duties levied by state governments. Excise duty is levied on the activity of manufacture of goods. Activities specified as amounting to manufacture in Central Excise law are liable to excise duty. Also, the products shall be mentioned in the relevant schedule of Central Excise Tariff Act, 1985 so as to attract excise duty.