I wish to know whether we can avail cenvat credit of the CVD @ 14% paid on imports assuming the assessee is a service provider ??
Also, i most humbly request you to qoute the relevant section/rule for my benefit.
Thanks.
Aadesh Bora (Practice) (33 Points)
07 August 2009I wish to know whether we can avail cenvat credit of the CVD @ 14% paid on imports assuming the assessee is a service provider ??
Also, i most humbly request you to qoute the relevant section/rule for my benefit.
Thanks.
R.P.Singh
(Advocate & Consultant)
(1173 Points)
Replied 08 August 2009
Special CVD eligible for cenvat to manufacturer but not to service provider.
Additional duty paid u/s 3(5) of the custom tariff Act(special CVD) is eligible for cenvat credit for a manufacturer, but a provider of taxable services is not eligible for such credit [ Rule 3(i)(viia) of cenvat credit rules.].
Tahseen Tabassum
(CA-FINAL)
(644 Points)
Replied 08 August 2009
As per Cenvat Credit Rule, 2004 Rule 3(1) says that a service provider can avail all the Cenvat credit as applicable to the manufacturer except that of Special CVD, hence a service provider can avail the credit of CVD on imported Inputs and Capital Goods.
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