satya (Executive Excise) (1839 Points)
26 February 2010
12:45 Full CENVAT credit on Cap Goods in 1st Year itself: Ernst & Young
Dear Sir(s),
Please Clarify my doubt;
What is the present status of Cenvat Credit on Capital Goods for availment in a Financial Year.
CA. Shwetank Vats
(Chartered Accountant)
(653 Points)
Replied 26 February 2010
50% cenvat taken in same FY in which capital good purchase and balance 50% cenvat taken in next FY till now.
But as above mentioned, I also confuse what is the meaning of "1st year itselt"
Please wait for this clarification till not clear.
Ajay Raghatate
(Sr Executive (Excise & Accounts))
(736 Points)
Replied 26 February 2010
| Originally posted by : satya.dharani | ||
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But as per latest notification No.6/2010-Central Excise(N.T.) dted 27/02/2010 , who will avail SSI exemption, then they are eligible to avail 100% credit.
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CA. Shwetank Vats
(Chartered Accountant)
(653 Points)
Replied 26 February 2010
Yes, Mr. Ajay is right, this facility only for SSI Unit wef 1-4-10
S. Banerjee
(Practising Cost Accountant. Core area- Central Excise. Service Tax Costing system installation including maintenance of Cost Records and Cost Audit and Management Audit mainly Revenue leakages Audit)
(622 Points)
Replied 26 February 2010
Can anybody help me? where the abovementioned notification is availble? CBEC site has not been updated till to this moment.
Pl be treated most URGENT.
Thanks in advance,
S. Banerjee
HS Negi
(Senior Executive- F&A)
(590 Points)
Replied 27 February 2010
Dear Satya
I wish to clarify your doubts in view of cenvat credit of capital goods.
Condition No1. If you have purchased capital goods and you have used in relation to manufacture then you are entitiled to take cenvat credit 50% in current financial year and balance 50% in next financial year .
Condition No2. If you have purchased some capital goods and you are sure that you shall clear the capital goods in the same financial year then you are entitiled to take full cenvat credit and when you clear the goods you will depriciate the depriciation 2.5% per qtr in view of valuation and you have to reverse the cenvat credit accordingly.
Regards
Harendra Singh Negi
Sushma Mevacha
(Executive)
(394 Points)
Replied 27 February 2010
All the details regarding the Budget 2010-11 is available on the below link.
Nirav Parekh
(Article)
(41 Points)
Replied 05 May 2012
Please tell me the currant status of CENVAT Credit Ruls on capital goods...
Is The rule of 50% is prevelling or Replaced by 100% credit rule..????
CAclubindia
