Meaning of "removed as such" in IDT

kckinn (CA) (759 Points)

19 July 2013  

This phrase , "inputs removed as such", appears in IDT in relation to Cenvat Credit Rules. I am not sure about the meaning of this. 

 

I think it means, inputes were removed without being used. Is this correct ?

 

Doubt-  As per Cenvat credit rules, Rule 4(2)(a), [Page 4.28-4.29 of Bangar],

"If the capital goods are removed as such in the year of acquisition, the credit of the whole amount of duty paid on such goods shall be allowed in the same financial year".

 

Question: If the capital goods are USED and removed in the same financial year in which they were acquired, would the above statement apply ? Or is it applicable only if capital goods are removed in the same financial year without being used.