Liquor and Tobocco companies can claim Cenvat credit in excise

Senthil (Asst.Manager EXIM) (28 Points)

06 July 2011  

Respected Sir,

We are importer of Flavor products based in ahmedabad.  We need to pay Basic custom duty alongwith CVD +Education Cess and Higher Education Cess at the time of import to Customs.

We will supply flavors to Tobocco and Liquor company, they will use flavour as Raw Material in their final products  say Rum, Beer, Or Whisky and Cigarattes.

I want to know following:

1) whether they can claim Excise cenvat credit ( CVD+Education and Higher Secondary Education Cess)  as input credit , if we pass this to them?

Please advise.

Regards

Senthil