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This query is : Resolved

survesh (Querist)
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30 June 2010 Dear Sir,

A Manufactur is Regesterd under SalesTax,Vat,ServiceTax.he Has purchased a machinery on which he has paid Excise Duty asy 209000.00 and CST with C Form 49000.00.He is not regestered under Excise.Can he Take Setoff of Excise Duty against Service Tax & What treatment should be given to CST with C Form.I Have Ledger Ac:
Machinery 2090000.00 Dr ( Fix Aset)
Excise Duty 209000.00Dr (Current Aset)
CST C Form 49000.00 Dr (unknown)
Party Cr 2348000 cr (Creditors)
is the entry right

Regards

CA. BIJENDER KR. BANSAL

CA. BIJENDER KR. BANSAL (Expert)
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30 June 2010 NO, EXCISE BENEFIT CAN BE TAKEN BY ONLY MANFACTURER REGISTERED UNDER EXCISE ACT.
NOW EXCISE DUTY WILL BE PART OF COST OF MACHIENRY.
NON-CREDIT EXPENSES WILL BE PART OF COST. CST ALSO WILL BE ADDED IN COST OF MACHINE.
IE. ENTRY WILL

MACHINERY A/C DR. 2348000/-
TO PARTY A/C 2348000/-

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