Can a traders take cenvat credit of additional custom duty paid u/s 3(5) of custom tariff act instead of claim of refund, because procedure of refund is very clumsy.
RAJIW KUMAR SINHA (Chartered Accountant) (109 Points)
31 May 2012Can a traders take cenvat credit of additional custom duty paid u/s 3(5) of custom tariff act instead of claim of refund, because procedure of refund is very clumsy.
Sunil Kumar G
(AGM Taxation)
(373 Points)
Replied 01 June 2012
Additional Duty (SAD/AED) can utilize for payment of Central Excise duty only. That means only manufacturer can utilize SAD as CENVAT Credit. But First stage dealer can transfer the SAD to manufacturer also. Otherwise you should go for refund of SAD. Refund is not a complex process.
Sunil Kumar G
(AGM Taxation)
(373 Points)
Replied 01 June 2012
Additional Duty (SAD/AED) can utilize for payment of Central Excise duty only. That means only manufacturer can utilize SAD as CENVAT Credit. But First stage dealer can transfer the SAD to manufacturer also. Otherwise you should go for refund of SAD. Refund is not a complex process.
nilesh joshi
(Accounts)
(28 Points)
Replied 01 July 2012
Dear Sir,
Please give clarification about the cenvat credit on aditional excise duty. Suppose manufacturer can purchase the chemical from first stage dealer those dealer can import same chemical from outside countries, so please give the clarification about cenvat credit avail or not. Dealer can passed invoice as per cenvat credit rules 3(5).
Thanks & Regards,
Nilesh Joshi
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