Reimbursement of CENVAT Amount
This query is : Resolved
30 November 2010
Dear Sir,
1.We have purchased a capital goods in the year 2005, we have taken the CENVAT credit as per CE rules. Depreciation also claimed on the said gods excluding the CENVAT amount.
in 4 years the value of the goods become nil after depreciation charged. Now we want sell out the same, How to sell it and what impact will come on CENVAT amount?
2. We have to separate companies. i.e one sponge iron and power. The entry gate is same for the both unit. Now we are procuring the same raw materials for the both units, How we shall take credit for the said RM in an Invoice issued by the supplier?
1.We have purchased a capital goods in the year 2005, we have taken the CENVAT credit as per CE rules. Depreciation also claimed on the said gods excluding the CENVAT amount.
in 4 years the value of the goods become nil after depreciation charged. Now we want sell out the same, How to sell it and what impact will come on CENVAT amount?
2. We have to separate companies. i.e one sponge iron and power. The entry gate is same for the both unit. Now we are procuring the same raw materials for the both units, How we shall take credit for the said RM in an Invoice issued by the supplier?
30 November 2010
1. Capital goods shall be cleared from the factory after payment of a duty of cenvat credit availed less 2.5% per quarter.
2. RM can go to one unit. That unit will take credit. After receipt of the material, part of the material meant for other units can be transferred to the other unit through the procedure of inputs cleared as such.
2. RM can go to one unit. That unit will take credit. After receipt of the material, part of the material meant for other units can be transferred to the other unit through the procedure of inputs cleared as such.
01 December 2010
Dear Sir,
1st reply not very clear to me. if possible please let me know briefly.
2nd is very much clear to me.
1st reply not very clear to me. if possible please let me know briefly.
2nd is very much clear to me.
01 December 2010
4 years means 16 quarters
therefore 2.5x 16 = 40%
40% credit can be retained.
therefore 2.5x 16 = 40%
40% credit can be retained.
09 May 2014
Dear Sir,
We have a manufacturing unit in West Bengal. We manufacturing finished goods which is sale to the market. My problem is that during the production we are using 3 types of RM say 300 Kgs and we are getting FG 100kgs, the balance materials becoming water and there is least chance recover the RM or FG from that water.
Now my question is what will be done for this huge loss. Should we declare the manufacturing process before the AC by stating the fact or reverse the CENVAT duties. If we should the CENVAT Credit reverse the company may be shutdown soon.
Please suggest us and oblige at the earliest.
Thanking you,
Yours faithfully,
Chandan Mukherjee
Kolkata
We have a manufacturing unit in West Bengal. We manufacturing finished goods which is sale to the market. My problem is that during the production we are using 3 types of RM say 300 Kgs and we are getting FG 100kgs, the balance materials becoming water and there is least chance recover the RM or FG from that water.
Now my question is what will be done for this huge loss. Should we declare the manufacturing process before the AC by stating the fact or reverse the CENVAT duties. If we should the CENVAT Credit reverse the company may be shutdown soon.
Please suggest us and oblige at the earliest.
Thanking you,
Yours faithfully,
Chandan Mukherjee
Kolkata
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Is this income indian or foreign income?
- ITC temporary reversal and reclaim
- Inventory of finished goods
- Applicable TDS rate for sale of property in Nov 2024
- Quiery in relation to GST liability in case of an advocate who has obtained GST registration.
- Disallowance of Section 43B(h) to sez units
- REGARDING 25 AS DATE OF PAYMENT AND DATE OF BOOKING
- Sale of property furniture sale
- Can we claim ITC of Feb-2024 in the month of November-2024 which was not claimed by oversight
- Clarification on Documentation of Paid-Up Capital Contribution by Directors
- Redevolpment of bldg in mumbai
- Refund of AY 22-23
- LAST YEAR 2022-23 ITC IN NEXT YEAR 2023-24 REPORITNG IN GSTR-9
- MIS MATCH OF INVOICE NUMBER
- IGST Credit-Show cause notice issued-confusion
- Issue of gst e invoice
- How to adjusted advances given or receipt
- Foreign vendor without PAN unable to to register due to non receipt of OTP on foreign number ?
- 133(6) DIN INVALID format error - ->WHERE TO REPLY 133(6) notice?
- Query for dubts
Trending Online Classes
CAclubindia
