Cenvat Credit in First Stage Dealer, Central Excise

[Raja krishnan]

Dear Sir,

One Central Excise Registered First stage dealer, Purchased Central excise goods from the Manufacturer & collected the Cenvat Credit, in this status, as on date how to pass on their Cenvat Credit which are collected from the Manufacturer to Second Stage Dealer through them sales invoice ..Please clarify the method of sales with good example.

Posts / Replies

[Ganeshan Kalyani]

Sir, you can fix your selling price inclusive of CENVAT amount that was paid to manufacturer while purchasing and by enclosing the manufacturer sale invoice along with your sale invoice. Your customer will take credit based on the invoice attached by you along with the sale invoice. TThanks.

[KASTURI SETHI]

Sh.Raja Krishnan Ji,

It is natural that amount of Cenvat Credit to be passed on is to be mentioned separately on the invoice. Take care that amount passed on must not exceed the amount of credit received/entered in your RG 23 D Register.