Cenvat Credit, Central Excise

[Rizwan Ullah]

Assessee is involved in the manufacturing of Excisable ( Dutiable ) and Non- Dutiable ( Exempted ) product.

Common water treatment plant ( Sewerage) is being set up . Can cenvat credit be availed on capital goods purchased for the set up of such sewerage plant.

Posts / Replies

[Himansu Sha]

There is no restriction in the case capital goods which means if the capital goods are partly used for dutiable and partly fort exempted goods, the credit on capital goods can be taken. If the capital goods are used for exempted goods or services exclusively, then credit can not be taken. Also if the exermption is ssi exemption, credit cannot be denied. Rule 6(4) of CCR.

[MARIAPPAN GOVINDARAJAN]

I endorse the views of Himanshu.