Cenvat credit

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Gorav Kumar Goyal (Querist)

15 May 2013 Kindly let me know whether Cenvat Credit of capital goods installed which is not put to use can be taken or not against excise duty payable at present.

This capital goods are purchased for different process in addition to existing manufacturing goods and still not put to use.

i.e. whether Cenvat on these capital goods which are not put to use can be taken against excise duty payable on existing manufacturing facilities.

Thanks.

Madhukar N Hiregange

Madhukar N Hiregange (Expert)

15 May 2013 In the 1st year the condition is only receipt for the subsequent years usage is necessary. Therefore in 1st year 50% of the duty credit canbe availed and utilised.

Gorav Kumar Goyal

Gorav Kumar Goyal (Querist)

29 May 2013 Further as per accounting treatment we are capitalising every exp. before unit is start up whether it is Input or capital goods.

Now my question is how we have to take credit of Input, as a Input or Capital goods.

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