CENVAT on Capital Goods
This query is : Resolved
02 November 2007
FOR THE CAPITAL GOODS CENVAT IS APPLICABLE 100% OR 50%,
pl give the answer with example
thanking you
pl give the answer with example
thanking you
02 November 2007
Dear Sir
You can take 100% credit for capital goods. But you can not use more than 50% of the same, in the year of purchase. Balance can be used in the subsequent year/s.
For example if you purchase machinery worth Rs 10 Lakhs and pay duty of Rs 163800 in November 2007 to your supplier, you can take maximum credit of Rs 81900 in the year 2007-08 and the balance in 2008-09 or thereafter.
You can take 100% credit for capital goods. But you can not use more than 50% of the same, in the year of purchase. Balance can be used in the subsequent year/s.
For example if you purchase machinery worth Rs 10 Lakhs and pay duty of Rs 163800 in November 2007 to your supplier, you can take maximum credit of Rs 81900 in the year 2007-08 and the balance in 2008-09 or thereafter.
Ankit Dangayach
(Expert)
03 November 2007
Hi
In case of capital goods ,credit of duty not exceeding 50 % can be taken in the year of acquisition and the balance in the subsequent years provided capital goods are still in possesion.in case capital goods are removed in the first year 100% credit will be allowed in the year of acqusition of asset.
In case of capital goods ,credit of duty not exceeding 50 % can be taken in the year of acquisition and the balance in the subsequent years provided capital goods are still in possesion.in case capital goods are removed in the first year 100% credit will be allowed in the year of acqusition of asset.
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
- Accounting treatment of AMC alongwith the purchase of Laptop
- Nursery business
- Condonation Request sec 119(2) b -Enhancement Limit of Leave Exemption prior to AY 2023
- GST Treatment of Purchases with GST Paid where Outward Supplies of Manufactured CattleFeed Exempt
- Issuing of delivery challan by seller of goods
- Tax on Amount transferred in HUF Account
- Not ordinarily resident having partnership income in India and salary in USA is any form to filed be
- WRONG GSTR7 ENTRIES ACCEPTED ERRONEOUSLY
- 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
