Utilisation of cenvat credit on brown field project

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

14 September 2015 Sir,

We have existing cement plant since 2008 onwards. we have availed and utilise the Centvat credit aganist clearance of our final product. Now, our plant going to expanding the production capacity . so, we have started Brown field project, at our same premises. We are availing cenvat credit on new machinaries and spares, so, these cenvat credit of new plant can utilise to duty payment of existing plant before start the production of new plant?

Arun Kumar Singh

Arun Kumar Singh (Expert)
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14 September 2015 Yes, you can take the cenvat credit on capital goods 50% current year and 50% next year. The SSI unit can avail the 100% cenvat credit on capital goods.