Dated 16th November 2011
Central Excise taxation of Bakery products such as cake, pastries etc., bedevils a lot of entrepreneurs along with even those in the organized sector. Cake & pastry products are covered under chapter 19 of the central excise tariff,1985, while the basic duty is 16%, exemptions are also available(including ssi exemption) further, the valuation of many of the products are to be done on mrp basis. The tariff, mrp & exemption notifications are being attached. This will not solve all your problems but would at least set you on the right path of questioning !!!
SOURCE: GOVT. OF INDIA, Ministry of Finance