Availing cenvat credit by my customer

This query is : Resolved

KALYANA SUNDARAM.T.V. (Querist)
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16 December 2011 I have received a order from my customer for manufacturing EOT Crane having their factory at calcutta.

I outsourced the same to the job worker who is having manufacturing facility at pune. The material is purchased locally at pune and he is going to charge excise duty while raising the bill on me.

Now my query is as follows:

1. If the supply is directly made to my customer place instead of receiving at my factory can i eligible to avail cenvat credit?.

2. If my job worker is raising bill on me and mentioning my customer as consignee in the invoice can my customer can take the cenvat credit based on the job worker incoive?

Kindly clarify.

Regards

Kalyan

PUNEET GOYAL

PUNEET GOYAL (Expert)
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17 December 2011 It appears that in above case indeed job work is manufacturer who has purchased raw material and manufactured EOT and you are only first stage dealer. Means you have purchased goods from job worker (Actual Manufacturer) and sold it to the customer.

In that case you have just pass on cenvat credit to the customer.

According to me, you can pass on cenvat credit on the basis of invoice of job worker and your customer can avail the same.