100% cenvat credit on capital goods

This query is : Resolved

SACHIN (Querist)
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21 October 2013 Sir,
Request to you , kindly clarify my doubt, whather 100% of Cenvat Credit on impoted capital goods can be availed in the subsequent year, In case of no cenvat credit availed in F.Y. in which the goods were received but not received original invoice/ bill of entry.

Suresh Ramaswamy

Suresh Ramaswamy (Expert)
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21 October 2013 CENVAT credit on inputs can be availed only with proper input documents. The input document should contain the name and address of the service provider, nature of service, service tax, name and address of the service recipient. Usually this is covered in a proper invoice. For imported goods the CENVAT Credit is available on the CVD and SAD paid only not on the complete customs duty i.e. the portion of duty recovered in lieu of CE is the only credit available. These details are available in the bill of entry and hence the main document for purposes of claiming input is the bill of entry and the customs duty adjudicated and paid. The goods can be received only after paying the customs duty andhence on payment of duty the Input credit should be availed. However, CENVAT Credit Rules 2004 provide that if for some reason the CENVAT credit is not availed on payment, then the same may be availed of within six months thereof.

For Capital Goods the CENVAT credit has to be availed of in two instalments. In case you had paid the Customs Duty in the previous year and forgotten to claim the input, 50% may be claimed within 6 months thereof and the balance 50% in the current year exactly 12 months after the date of payment.

This is the only possible way 100% of CENVAT credit on Capital Goods can be claimed in the same year.

SACHIN

SACHIN (Querist)
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21 October 2013 Thanks

Sir,
Not recived original bill of entry in financial year .

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