Cenvat on Capital Goods
This query is : Resolved
06 February 2010
We purchased a machine on 1.4.2006. We took cenvat of machine that time. We use that machine in production till now.
Now we want sell or dispose of that machine (workable condition not as scrap). So how much we have to pay excise on this ? is it on equal to Cenvat Credit Taken or selling price ? But there are provision in Cenvat Rule if capital goods dispose after use in production that means u are not selling as such so we have not liability to pay cenvat on this is it correct? please Tell me Sir.
Thanks in advance
Now we want sell or dispose of that machine (workable condition not as scrap). So how much we have to pay excise on this ? is it on equal to Cenvat Credit Taken or selling price ? But there are provision in Cenvat Rule if capital goods dispose after use in production that means u are not selling as such so we have not liability to pay cenvat on this is it correct? please Tell me Sir.
Thanks in advance
M Prabhakar Menon
(Expert)
06 February 2010
There is no excise duty involved.
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
- Depreciation Chart Companies Act
- GST Audit whether Govt Companies are exempt?
- PTRC Show Cause Notice on Email
- Accounting treatment of AMC alongwith the purchase of Laptop
- Capital Gail Exemption Certificate
- Unable to File TDS Q2 Return – New TRACES Portal Error
- Taxation of crypto futures in India Fy 2026- 2027
- EPF ECR NEW RULES Sep 17th 2026
- Transfer of Physical Stock Between Two Proprietorship Concerns
- Issuing of delivery challan by seller of goods
- GST Treatment of Purchases with GST Paid where Outward Supplies of Manufactured CattleFeed Exempt
- Expert Help Required for TDS Refund 100000 Through TRACES – AY 2022–23
- IMPORT PURCHASE ENTRY PASSED IN BOOKS OF ACCOUNT
- FAST DS 26 Undisclosed Foreign Asset Disclosure Scheme 2026
- Regime change
- Goods sold but invoice not issued
- Tally: Imported bank entries do not show up in manual reconciliation
- Sales of goods of amount Rs97 lakhs to a party
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- FAST-DS 2026 Under Tax Law - No recourse or support for person declaring via this scheme?
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
