Amit Prakash Singh (Accountant) (295 Points)
30 September 2011Dear all Experts
Please explain the the rule 16(1)(2)(3)(2002) of central exice.We purchase Wheelnut spanner (Hand Tool) can we take cenvat credit of it or not.We purchase it from Vendor after that we do labeling and packing of that (hand tool)material.Please guide.
Thanx & Regards,
Amit Singh
CA SUMiT PATWARi
(Chartered Accountant)
(1441 Points)
Replied 05 October 2011
Practically what you can do is :
Take cenvat credit on the purchases. Treat packing and labeling activity as manufacture. Pay e/duty on sales amount at the time of sales.
CAclubindia
