07 January 2010
Dear Sir, We have two Units. All are Registered with Excise. Last month we have deposit 50,00.00 from Unit-I towards Excise duty in PLA vide Axis Bank.But that amount should be deposit from Unit-ii. Now what is the solution for that? Kindly inform me immediately Thanks and regards, Ritu
07 January 2010
The moot point is since the PLA credits do not go waste or the credit is available at any time, and in case of unit is claosed or transferred then such credit would also be transferred, since in this case as said by you instead of from Unit II the duty has been deposited from Unit I then in that case the amount cannot be withdrawn or transferred unless otherwise than those stated above, but a sepertate amount be deposited from Unit II as even if it is wrongly credited the same would not go waste as even if not utilised the same may be refunded, at the time of winding up or liquidation or transfer or amalgamation.
A letter to that effect may be written to the relevent Central excise authority relevent to the unit jurisdiction who would be confirming whether the same is acutally so and then the same would be allowed to be transferred, as an compensating error, but in this process the valuable time would be lost.
In my opinion the best option would be deposit a seperate amount from Unit II till the inadvertant amount would be transferred from Unit I to II
In case of any further clarification do write to us
CAclubindia
