banner_ad

CENVAT credit

This query is : Resolved 
Profile Image

Profile Image

(Querist)
15 December 2009 Dear Sir,
When goods are removed from a factory for a sale say Rs. 10000 duty paid.
Subsequently say within 3 months the goods are return back to factory from a buyer for some reasons.
Query:
1. whether CENVAT credit taken by a buyer should be reversed?
2. if yes, whether fully and at what time?
3. Suppose, duty collected by a seller was paid to Govt. in case buyer ask for refund for the whole amount including duty paid for returned goods, what is the treatment for in case of seller and buyer?
Profile Image

Madhukar N Hiregange

Profile Image

Madhukar N Hiregange (Expert)
15 December 2009 When the buyer returns the goods he could send the same under Rule 4 (5(a) under job work. In that case only delivery documents would move. If rejected and not taken to stock at all, the credit availed is to be reversed by the buyer.
The seller/ manufacturer would avail the credit under Rule 16 and on removal rverse the same again.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now


CCI Pro
Join CAclubindia WhatsApp Finance Community & stay updated with the latest TAX news, compliance alerts and important updates all in one place!


Similar Resolved Queries


loading


Unanswered Queries


banner

Trending Online Classes

view all classess

CCI Pro
Meet our CAclubindia PRO Members
Subscribe Now

Follow us
add to google news



Answer Query



Quick Links



Browse by Category




Latest Job Openings

View all
Company
23 May 2026
Article Assistant

Geeta Manchanda & CO.

New Delhi

CA Inter

View Details
Company
26 May 2026
CA / MBA (Finance) / CMA / M.Com (Finance)

Sri Aurobindo Gnostic Centre of Education

New Delhi

CA

View Details
Company
08 May 2026
Paid Assistants

Quick Taxperts Private Limited

Bengaluru

Graduate (Any)

View Details
Company
11 May 2026
AUDIT INTERN

M/S K.K.KHANNA AND COMPANY

Noida

CA Foundation

View Details
Company
22 May 2026
U.S. Financial Reporting & Consolidation Manager

Karia Overseas

Ahmedabad

CA

View Details
Company
22 May 2026
Sr. Financial Analyst - Consolidation

Search Synergy

Mumbai

CA

View Details
Company
ARTICLESHIP 05 May 2026
ARTICLED ASSISTANT

JS ADVISORS

New Delhi

CA Inter

View Details
Company
11 May 2026
Post office

Post office

Anakapalle

Others

View Details