EXCISE CENVAT CREDIT ON CEMENT & STEEL

You can not take credit on cement and steel used for construction purpose. As a manufacurer / dealer registered under excise you can avail credit on the following

1) On capital goods ( as defined under rule2 of cenvat credit rules) used in the factory of the manufacturer of the final products, but does not include any equipment or appliance used in an office.  Rule 2 gives list of captial goods

2) Input used in or in relation to manufaturing of final product (Refer rule 2 of cenvat credit rule for the full defination)

The cement and steel which you are refering does not fall under any of the above category. Hence you can not avail cenvat credit on it.

Regards

Dayananda

Dear Sir,

Input defination is change

You see the website of www.cbec.gov.in

Regards

Yogesh

No credit is allowable for civil construction. That is the thumb rule. You may study the order of cestat in appeal case of Vandana Global Limited Versus Commissioner of Central Excise, Raipur Appeal No. E/1036/2008  and form you own opinion.