1) U&V Ltd. Manufactures 10,000 units of Product-W , Assessable Value of which is Rs. 400 per unit. Duty payable is 16%. Duty paid on raw material is Rs. 3 Lacs. U&V Ltd. sells 2,000 units in India and 8,000 units are exported thru a merchant exporter. What is CENVAT credit available and what is the duty payable through “PERSONAL LEDGER A/C [ PLA]” ? Can U&V Ltd. Get any refund of CENVAT credit ?
Ans. Duty shall be payable as %age of tariff value . Duty payable = Rs. 1,31,840 ( including Cess) CENVAT Credit Available = Rs. 3,00,000 , Refundable CENVAT Credit = Rs. 1,69,440 . No need to pay duty thru ‘PLA’.
Unable to understand answer. Pl help..
regd,
Aditi Garg,
CA final