Cenvat on capital goods used for jobwork

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This query is : Resolved

mallesham ausali (Querist)

18 July 2014 VERY URGENT HELP US PLZ.

DEAR EXPERTS,

THANKS FOR YOUR GREAT SUPPORT FOR VARIOUS ISSUES. NOW WE REQUIRED SOME CLARIFICATION FROM YOUR END.

1. WE HAVE 3 UNITS IN DIFFERENT JURISDICTION AND MAIN UNIT IS REGISTERED UNDER EXCISE REGISTRATION, REST TWO UNITS NOT REGISTERED AND WE ARE DOING JOB WORK FOR OUR MAIN UNIT AND NOT FOR OTHERS. THERE IS NO SALES / PURCHASE IN THAT UNITS DUE TO THIS WE HAVE NOT TAKEN ANY REGISTRATION AND SUBMITTING YEARLY SSI DECLARATIONS.

2. WE ARE MANUFACTURING OF DUTIABLE PRODUCT, EXEMPTED PRODUCTS AND JOB WORK.

3. NOW WE ARE BUYING ONE CAPITAL EQUIPMENT TO INSTALL IN OTHER UNITS WHICH IS NOT REGISTERED AND SSI DECLARED UNITES. THERE WE ARE DOING JOB WORK FOR OUR MAIN UNIT AND MANUFACTURING EXCISABLE AND NON EXCISABLE GOODS. IN THIS CASE SHALL WE TAKE MODVAT CREDIT ON THE CAPITAL GOODS AND INSTALL AT OUR BRANCH UNITS.

PLEASE CLARIFY. THANKS IN ADVANCE.

Arun Kumar Singh

Arun Kumar Singh (Expert)

20 July 2014 You can take the cenvat credit of capital goods used for job work activity. You should purchase the capital goods in the registered premises and take the cenvat credit and goods should be removed on jobwork challan.

mallesham ausali

mallesham ausali (Querist)

20 July 2014 Thanks for information but if we should remove the capital goods on job work basis we should bring back again within 180 days. But it is not possible because we should install the machine permanently in other unit.. So kindly advise what's the way to take Canvat credit.

RAM KUMAR SAINI

RAM KUMAR SAINI (Expert)

21 July 2014 Just maintain the records accordingly

mallesham ausali

mallesham ausali (Querist)

21 July 2014 Thanks experts.. Giving immediate response

Vishnu Saboo

Vishnu Saboo (Expert)

22 July 2014 yes you can avail credit and ofcourse machines wont go on jobwork challans, material which you sending for jobwork that must be go on jobwork challans.

mallesham ausali

mallesham ausali (Querist)

25 July 2014 But department will allow if install the machine other place and taking the credit in one place. 4(5) challan movement for that installed machine??.

mallesham ausali

mallesham ausali (Querist)

25 July 2014 But department will allow if install the machine other place and taking the credit in one place. 4(5) challan movement for that installed machine??.

mallesham ausali

mallesham ausali (Querist)

24 February 2015 is there provision to write the job work challan for capital goods, as per above reply.

RAM KUMAR SAINI

RAM KUMAR SAINI (Expert)

03 March 2015 you can send raw material as well as capital goods for job work on same job work challans

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