Cenvat Credit - Clarification on some important issues related to the ceramic tile industry -reg.

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... portant issues related to the ceramic tile industry -reg. Attention is invited to Notification No. 05/2006-CE dated 01.03.06 which stipulates that Central Excise duty at 8% will be charged on Ceramic tiles manufactured in a factory not using electricity for firing the kiln on the condition that "if no credit of the duty paid on the inputs used in or in relation to the manufacture of such ceramic .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... It may be recalled that till the operation of 6 digit CET, Abrasive stones were classifiable under 680110 and was covered under the definition of capital goods as per Rule 2(a)(A)(i) of CENVAT Credit Rules, 2004. However, after the introduction of 8 digits CET, with effect from 28.02.2005, abrasive stones were classified under 6805. Therefore, a view was taken that the abrasive stones came out of .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... Central Excise (Removal of Difficulties) Rules, 2005 have been notified. The said Rules provides that the reference to erstwhile chapter, headings, sub-heading or tariff item under 6 digit CET shall be deemed to have been substituted by the corresponding new chapter, headings, sub-heading or tariff item under the 8 digit CET in any of the rules made under Section 37 of the Central Excise Act. The .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X