Cenvat credit rules under excise act

R.Priya (accountant) (60 Points)

08 October 2012  

Sir,

We are importing rawmaterials from china for manufacturing.  Import duty contains 3 parts customs and its cess7.5%, CVD and its Cess 12.36% and Addl. Import Duty 4%. While Submitting ER1 the excise authority says that we can avail cenvat for 4% and not for CVD.  But one of our Friend says that Cenvat may be taken for CVD as well as Addl Import Duty.

We are also propose to import Capital equipment from China.  If the above is applicable for capital items also.

Please clarify me on this sir.

Thanks and Regars,

Priya