Cenvat Credit

760 views 5 replies

in my company we have purchased one capital goods on 1st Feb 2011 which we paid excise worth3.5 lacs. but during that financial year we forgot to take the credit upto the limit of 50% which is availed under cenvat credit rule.



can anyone help me out that now how can i claim the credit in terms of excise and whether i can claim full 100% excise credit in FY 2011-12

Replies (5)

ya surely you can take 100% credit in the FY 2011-12.......i think rule 4(2) does allow that

 

moreover i ll tell u few other possiblities

 

FY 10-11                  FY11-12           FY12-13

NIL                             100%                   -

NIL                              50%                 50%

40%                             60%                    -

60%                             40%   <---------------------------------NOT ALLOWED

 

PLZ correct me if i m wrong.....

Mr.Mayank is correct. You can take full 100% credit in 2011-12.

Regards

Dayananda

i agree as Only condition is that maximum credit for year of aquisition is 50%. NO other condition regarding following years.

You can take 100% credit in the next year.Rule 4(2)(a) of the cenvat credit rule  dors not say that 50% of the credit has to be takken in the first year itself.Judicial pronouncement also support you,such as Herbicure P .Ltd vs C.C.e 2007(216) E.L.T216.

yes,u can.

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