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Capitals goods have to remove as such

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Querist : Anonymous

Querist : Anonymous (Querist)

31 January 2013 Dear Sir,
we have to remove our two machines to our another unit (from Unit II to Unit I), we have availed cenvat credit on these machines 10 years ago., our both units are coming under same Excise Range. also we are doing only processing work in Unit -I (Job Work) but we are filled Nil ER-1 every month. my query is can i remove both machines from unit II to unit I without excise duty.
Please advice.

Arun Kumar Singh

Arun Kumar Singh (Expert)

12 February 2013 After use, the capital goods can be removed either as scrap or as second hand capital goods. Cenvat credit taken on the said capital goods, reduced by 2.5% for each quarter of a year or part thereof from the date of taking the cenvat credit. So, after 10 year no need to pay duty on second hand capital goods. You can cleared the goods without payment of duty.

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