Cenvat credit utilisation

Dear all,

I want clarification about a firm goods cleared to defence under not.no 10/97 dt 1.3.97 (duty exemption) &  goods removed for local other than defence. All excise records maintained seperately for both. Cenvat credit taken on raw material procured for local clearances  & credit not taken for raw material procured for defence supplies. Now Capital goods cenvat credit  allowed or not. But machinery brought for ment goods for local & Defence. Please suggest me.

Replies (1)

 

Dear Ramesh Kumar,

 

You have observed following two basic things:

 

·          All excise records maintained seperately for both.

·          Cenvat credit taken on raw material procured for local clearances  & credit not taken for raw material procured for defence supplies.

 

It is fine.   Now your question is

 

·          Now Capital goods cenvat credit  allowed or not.

 

Cenvat credit  is allowed. 

 

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