Availability of cenvat credit on building materials

This query is : Open

A. agarwal (Querist)
Follow

20 December 2014 Can CENVAT credit be availed on excise duty paid on electicals and building materials like glass, used in building by rental service provider as a capital goods under fittings and fixtures.

Ketan Shah

Ketan Shah (Expert)
Follow

23 December 2014 CENVAT credit will not be available in the instant case.

A. agarwal

A. agarwal (Querist)
Follow

24 December 2014 Thanks for the reply.But need to know whether electric goods will not qualify as capital goods under rule 2(a) chapter 85 for rental service provider (having a mall).
Also if these goods does not qualify as capital goods then whether they and also furniture (chairs etc.)will qualify as inputs under rule 2k(ii). Provided capital assets generally have not been excluded fro the definition of inputs, where any item does not qualify as capital goods for claiming credit the same can be examined under the definition of inputs as there is a possibility of the concerned goods being eligible for credit as inputs.
Also as per rule 2k CENVAT credit is eligible on inputs if they are used for providing output service and the definition does not say 'exclusively used'.
Looking for your advice.

You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now

Summarize this with AI

ChatGPT Perplexity Claude Google AI Grok