CENVAT CERDIT UNDER ABATEMENT, Central Excise

[SURYAKANT MITHBAVKAR]

Our vendor raise excise invoice and charged excise with abatement discount @35%.

In above case can we avail cenvat credit against the same invoice since material taken as input for our final product which is excisable.

Pl. advise.

Posts / Replies

[PAWAN KUMAR]

Dear Sir,

As per my view, the amount of duty which the supplier has charged on their invoice, is eligible as cenvat credit for you. You may claim cenvat credit.

[KASTURI SETHI]

In Central Excise there is no such restriction except notification no.1/11-CE dated 1.3.11 as amended and here is not that case. Such like restriction is in Service Tax i.e. either avail abatement or Cenvat Credit facility.

I endorse the views of Sh.Pawan Kumar, Sir.

[Ganeshan Kalyani]

Yes the credit is eligible.