Duty reversal on quality difference in material

This query is : Resolved

Rakesh Sharma (Querist)
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26 June 2014 We are manufacturer & purchased raw material of Rs. 8,50,150/- from another manufacturer & after testing we found some quality issues in same but the same material is usable for production.

We have issued debit note of Rs. 8500/- for the reason "Quality difference in Material"

My question is that should we reversed excise duty as as we have issued debit note @1% of invoice value.

Please help me what to do.

thanks.

Arun Kumar Singh

Arun Kumar Singh (Expert)
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26 June 2014 The assessee can avail the cenvat credit on basis of debit note. The document contained all the required details as required in invoice or challan.

Rupesh Jain

Rupesh Jain (Expert)
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28 June 2014 cenvat claimable only on invoice not on the debit note. mostly company not doing that. they send only debit note w/o charging the cenvat and VAT.

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