Respected sir,
we have received material from 100% EOU but the calculation done by him are not admissiable.
they assume Basic Price is 100
Coustom duty 15
Excise Duty & cess 9.48
total 24.48
Further cess 3% 0.73
total 25.21
further 2% 0 .50
further 1% 0.25
total 25.97
final Invoice Price 125.97
excise 10.23 modvatable
loss of duty 15.24 non modvatable
pls expain it is correct ?
sachin
The purchase from an EOU is similar to that of actual imports.
All duties are to be paid and material removed only after that.
So, the calc. is fine & OK
The duty paid by 100% EOU on DTA Clearance is Central Excise Duty (although duty calculation is done in equivalence of Custom Duty), and hence 100% Cenvatable.
Naveen Fintech Pvt Ltd
Kolkata
CA Inter
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