Aashish Tiwari (Audit, finance) (429 Points)
19 May 2011Dear all,
My queiry relateds to cenvat credit. i have described the cases.. i have a common tank for Furnace oil and it is used for both excisable & non excisable goods manufacturing.. Wheather, i can avail the CENVAT credit used on excisable goods which is supplied from the common tank of furnace oil?? Please do needful in this matter..
Thanks & Regards
Ashish h tiwari
(MBA, IPCC)
U S Sharma
(glidor@gmail.com)
(21063 Points)
Replied 19 May 2011
as exempted goods are not eligible for input credit, so you have to reverse the proportionate credit whcih are used in exempted goods on periodical basis. ( preferred monthly or at lower intervals)
CA Mohit Ghabrani
(Consultant)
(112 Points)
Replied 19 May 2011
You will have to reverse the credit.
Durga prasad Ambati
(Taxation, Pursuing CA)
(737 Points)
Replied 19 May 2011
Dear ashish
You have to reverse the Cenvat Credit wrong availament which is used for non-excisable goods praportionate basis.
Praportinate basis means , Praportionate to finished goods. In this case you have give a statement to Central exicise authorities and get ackowlegement for audit purpose.
Santhosh Poojary
(SIEMPRE AHÍ PARA TI)
(15607 Points)
Replied 20 May 2011
| Originally posted by : RITIKA CHHABRA | ||
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yes the credit for non-excisable goods will have to b reversed.. |
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CA SAHIL MITTAL
(JOB)
(240 Points)
Replied 20 May 2011
Rule 6 of CCR,04 is applicable... you may reverse 5% of Total value of goods (exempted as well as dutiable) or you have to reverse proportionate credit.
CA Lokesh Pokharna
(CA (Ahmedabad Bhilwara Chittorgarh))
(4128 Points)
Replied 21 May 2011
| Originally posted by : Sahil Mittal CA Final | ||
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Rule 6 of CCR,04 is applicable... you may reverse 5% of Total value of goods (exempted as well as dutiable) or you have to reverse proportionate credit. |
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