Can we get setoff of spl cvd

ANSWER TO YOUR QUESTIONS

1. IF YOU ARE A MANUFACTURER- THEN AT THE TIME OF IMPORT YOU PAY, BCD, CVD, CESS, SAD,  ONCE THE GOODS IS RECEIVED IN YOUR MANUFACTURING PREMISES, YOU CAN TAKE CENVAT CREDIT OF CVD AND SAD.  BCD AND CESS WILL BE A COST.  POST MANUFACTURING , YOU WILL PAY EXCISE DUTY/ SALES TAX AND REMOVE THE GOODS FROM FACTORY.

2. IF YOU ARE A TRADER IMPORTING GOODS,  AT THE TIME OF IMPORT YOU PAY BCD, CVD, CESS, YOU CAN GET EXEMPTION OF SAD PROVIDED THE GOODS ARE INDENTED FOR RETAIL SALE AND APPLICABLE VAT/ CST IS PAID ON SALE.

Tkhs Mr Krishnan,

Some clarification on SAD.

you have specified that

"IF YOU ARE A TRADER IMPORTING GOODS, AT THE TIME OF IMPORT YOU PAY BCD, CVD, CESS, YOU CAN GET EXEMPTION OF SAD PROVIDED THE GOODS ARE INDENTED FOR RETAIL SALE AND APPLICABLE VAT/ CST IS PAID ON SALE"

I want to know whether the exemption is to be claimed at the time of import or setoff will be available?

Also you have mentioned exemption is if it is intended for retails sale, what if it is not a retail sale but indeed a RESALE( VAT is charged against any resale). Will the exemption/setoff shall be available?

ANWER TO YOUR QUESTIONS

1. YOU CAN GET EXEMPTION OF SAD ON IMPORTS ITSELF ..  NOT NEED TO CLAIM SET OFF LATER BUT THIS EXEMTPION CAN BE AVAILED ONLY IF THE GOODS ARE INDENTED FOR RETAIL SALE AND ON SUCH SALE APPLICABLE VAT/CST IS CHARGED.

2. IN CASE YOUR SALE IS NOT RETAIL SALE, THEN THE OPTIONS AVAILABLE TO YOU IS TO PAY 4% SAD, AND ON SALE OF GOODS , PAY APPLICABLE SALES TAX, APPLY FOR REFUND TO CUSTOMS ALONG WITH ALL IMPORTS AND SALE DOCUMENTS,  BOOK THE SAD AMOUNT AS RECOVERABLE IN YOUR BOOKS OF ACCOUNTS, PROVIDE CA CERTIFICAT FOR UNJUST ENRICHMENT AND TAKE REFUND FROM CUSTOMS