cenvat utilization

hi

we have two plants and two plants have two different registrations,my question is

at the time of monthly utilization output-inputs,can i utilize one plant output to both plants input or same plant input that i have to utilize

 

gunasekar.r

 

 

Replies (4)

in excise, each unit is a separate entity. we cannot utilise the credit of one unit against the duty payable by other unit.

excise dept would not allow it to be used. if u still do it, be prepared for a SCN

The concept of Centralised Registration is not there in Excise Law, therefore, each factory has to be registered separately.

Since, each factory is a separate assesse in the eyes of Excise Law, the input & output of each factory are to be kept separate for each of them.

Manufacturer can't plan to utilize CENVAT of one factory against output duty of other factory.

The CENVAT of one factory shall be available to him for carryforward for prospective output liability of same factory.

The output duty of another factory whose CENVAT fell short, will have to be paid through PLA.

 

Navneet & Reetika are right...

only LTUs can utilise the excess input of one unit in another unit

it is restircted to Blr , kolkata , mumbai, delhi and companies whose tax payments exceeds some limits

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