How can we reduce cost or tax

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Dear Expert,

We have excess cenvat credit. How can more beneficial for company to leave Cenvat credit, Service Tax credit or Capital Goods credit. Please tell which type of cenvat credit to be leave.

Thanks 

Replies (2)

If a company is having excess cenvat credit, to that extent funds are blocked.  If you are having exports, utilsie the cenvat credit for exports and get rebate in cash from the government.  Also try to analyse the reasons for excess credit.  If your inputs duty rate is more than the ouput duty rate, then request the department to reduce the input duty rate.  This request can be done through your industry.

After fulfil every condition we have excess cenvat credit. I want to know only that what type of cenvat credit we leave like capital goods, raw material input or service tax credit to save cost.


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