Cenvat available on e cess & he cess on basic duty under cus

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Manoj singhal (Querist)
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13 February 2014 We are importing material from outside india. please let us know whether can we claim cenvat on E cess and HE cess on basic duty under custom act. if yes please mention section/ provision/ notification and if we can't claim than please mention the same.

thanks in advance

Jyotindra Thakar

Jyotindra Thakar (Expert)
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13 February 2014 Dear Manoj,
You can not claim Cenvat on E Cess and HE Cess when you import material from overseas. In fact when you import material from overseas, E Cess and HE Cess will be applied on basic duty + CVD.
Couple of years back, E Cess and HE Cess were applicable on CVD and again on (Basic Duty + CVD + E Cess on CVD + HE Cess on CVD) As it was charged twise that time, E Cess and HE Cess paid on CVD were allowed as Cenvat. Currently as E Cess and HE Cess on CVD are not levied, Cenvat can not be claimed.
Hope I have clarified your query. Please feel free to ask any further questioin.

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Manoj singhal

Manoj singhal (Querist)
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13 February 2014 Thanks Sir, further would you please let us section/ provisions/ notification/ circular in this regard.

once again Thanks

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Jyotindra Thakar

Jyotindra Thakar (Expert)
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13 February 2014 Custom Notification (Tariff) No.13/2012-Cus, dt.17-03-2012 vide which Education cess on Custom Duty was abolised.