Cenvat credit
This query is : Resolved
25 August 2011
for removal under rule 3(5) and 3(5A),
rule 3(6) says cenvat credit available as if duty paid by the person who removed the goods.
isn't the manufacturer the one who removes the input.or capitalgood
thank you
rule 3(6) says cenvat credit available as if duty paid by the person who removed the goods.
isn't the manufacturer the one who removes the input.or capitalgood
thank you
25 August 2011
The amount paid on removal of input and capital goods as such or capital goods as waste and scrap under 3(5) and 3(5A) shall be available as cenvat credit if the sender has either reversed the cenvat taken or paid the duty on the transaction value.
25 August 2011
So the sender first takes the credit,
then reverses or pays it as per rule 5A or 5 on removal
and then again takes credit for which duty is paid or reversed???
then reverses or pays it as per rule 5A or 5 on removal
and then again takes credit for which duty is paid or reversed???
01 September 2011
@ Barli
1st point .......... capital goods input credit is available to Manufacturer of Exisable goods on which excise duty is payable / Taxable service provider , NOT TO SENDER
when its capital goods, obviously its a factory or industrial unit.
a) factory takes input credit on capital goods.
b) after certain period if factory wish to dispose the machines (capital goods), it will reverse / Pay duty under rule 3(5) or 3(5A) and clear the goods from the factory premises to somebody else, i.e the capital goods are sold.
c) when the capital goods are sold/ removed from factory, how the factory will take credit of duty reversed under rule 3(5) or 3(5A)? its available to the next person (buyer) only who has taken the capital goods from the factory.
1st point .......... capital goods input credit is available to Manufacturer of Exisable goods on which excise duty is payable / Taxable service provider , NOT TO SENDER
when its capital goods, obviously its a factory or industrial unit.
a) factory takes input credit on capital goods.
b) after certain period if factory wish to dispose the machines (capital goods), it will reverse / Pay duty under rule 3(5) or 3(5A) and clear the goods from the factory premises to somebody else, i.e the capital goods are sold.
c) when the capital goods are sold/ removed from factory, how the factory will take credit of duty reversed under rule 3(5) or 3(5A)? its available to the next person (buyer) only who has taken the capital goods from the factory.
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- About TDS & Income Tax
- PPF interest-As Exempt Income disclosure
- Section 194JA & JB Income which ITR Form to use
- Pass word to open justification report for Q1 for FY 2026-27
- Under construction property in ITR
- Scrutiny and reopening of past returns
- Booth for sales promotion
- Building tax payment deduction in rental Income
- Upload Level ValidationITR3Category of Defect B/D
- Foreign inward in ITR
- TAX AUDIT QUESTION
- VALUATION OF PRIVATE LIMITED COMPANY SHARES
- LIABILITY ADJUSTMENT
- Capital Gains on sale of residential flat
- Accounting with Claude
- PF Taxable Income
- Clarification on Tax Audit Applicability and Reporting of F&O Transactions in ITR-3
- Interest credited in FY2025-2026 & TDS therein by EPFO does not reflect in AIS or Form 26AS
- 44ad eligble money lending interest
- Delisted shares sold in off market/ Rebate u/s87A
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
