transitional provision under cenvat rule11

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..... transitional provision under cenvat rule11
Query (Issue) Started By: - raj kumar shukla Dated:- 3-5-2012 Last Reply Date:- 7-5-2012 Central Excise
Got 3 Replies
Central Excise
TRANSITIONAL PROVISIONS UNDER RULE 11 OF CENVAT CREDIT RULES 2004 iS THERE ANY DIFFERENCE BETWEEN RULE 11(2) AND RULE 11(3)(i) OF Cenvat Credit Rules, 2004. BOTH APPEAR TO BE CONVEYING SAME MEANING. IF SO WHY T .....

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..... WO SUBRULES. Reply By sunil ahuja: The Reply: Rule 11(2) is regarding lapse of remaining credit... while Rule 11(3)(i) speaks about payment of amount in cash incase there is in-sufficient balance. Reply By raj kumar shukla: The Reply: I am afraid i can not agree with you as both Rules talk about payment of amount equivalent to credit and lapsing of credit. Reply By Dilip Darji: The Reply: Hi .....

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..... storically there was a provision [ Rule 11 (2) ] to reverse Cenvat Credit in case if SSI opts for CENVAT facility. In respect of any other exemption, under section 5A of central Excise Act,1944 (otherthan exemption based on value of the goods), there was no such provision till 28/02/77. Therefore there were many decisions of higher authorities to the effect that there is no need to reverse CENVAT .....

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..... Credit on the stock lying on the date of availing the option. To over-ride situation,Rule 11 (3) (i) was inserted from 01/03/2007. Rule 11(2) is for SSI Unit only( exemption based on value of clearances). Rule 11 (3) (i) is for any notification issued under section 5A.
Discussion Forum - Knowledge Sharing .....

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