what is cenvat credit

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haresh

haresh (Querist)

03 March 2009 what is cenvat and on which taxes it is applicable?

CA Devanshi Gandhi (Ajani)

CA Devanshi Gandhi (Ajani) (Expert)

03 March 2009 Rule 3. CENVAT credit.-

(1) A manufacturer or producer of final products shall be allowed to take credit (hereinafter referred to as the CENVAT credit) of -

the duty of excise specified in the First Schedule to the Tariff Act, leviable under the Act;
the duty of excise specified in the Second Schedule to the Tariff Act, leviable under the Act;
the additional duty of excise leviable under section 3 of the Additional Duties of Excise (Textile and Textile Articles) Act,1978 ( 40 of 1978);
the additional duty of excise leviable under section 3 of the Additional Duties of Excise (Goods of Special Importance) Act, 1957 ( 58 of 1957);
the National Calamity Contingent duty leviable under section 136 of the Finance Act, 2001 (14 of 2001); and
the additional duty leviable under section 3 of the Customs Tariff Act, equivalent to the duty of excise specified under clauses (i), (ii), (iii), (iv) and (v) above,
paid on any inputs or capital goods received in the factory on or after the first day of March, 2002, including the said duties paid on any inputs used in the manufacture of intermediate products, by a job-worker availing the benefit of exemption specified in the notification of the Government of India in the Ministry of Finance (Department of Revenue), No. 214/86- Central Excise, dated the 25th March, 1986, published vide number G.S.R. 547 (E), dated the 25th March, 1986, and received by the manufacturer for use in, or in relation to, the manufacture of final products, on or after the first day of March, 2002.

Explanation.- For the removal of doubts it is clarified that the manufacturer of the final products shall be allowed CENVAT credit of additional duty leviable under section 3 of the Customs Tariff Act on goods falling under heading 98.01 of the First Schedule to the Customs Tariff Act.

for details plz refer :

https://www.excisekanpur.nic.in/cenvat.html

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