A manufacturing organization capitalised an asset and took input on the same..the life of the asset was 2 years...so after that it declared as scrap and used that as Raw material which gone through melting process which resulted into other products that sold into the market with the applicable rates...
So whether the conversion of that capital goods into raw material termed as disposal and comes into the ambit of schedule 1 supply without consideration and reversal of ITC should be done with regards to Input taken on capital asset and disposed off before 5 years of life...?
CAclubindia
