Transfer of Cenvat Cr., Central Excise

[Ram Niwas]

Dear All

My question is that, we are the manufacturer of bearing parts and we have two unit A & B,

We purchase raw material in unit B and unit B send the material in unit A for Job working and unit a worked on raw material and send back to unit B.  Unit B working on the material and sale the goods in domestic and export market.  There is no billing from Unit A for sale all sale bill raised by unit B.

Now  we required a machine in unit A and we import this and pay CVD. We take credit in our books in unit A. is there any process to transfer the cenvat Cr. to unit B. AS I explain there is no billing from Unit A.

Pleas advise

Regards

Ramniwas

Posts / Replies

[Pradeep Khatri]

Get the registration under LTU and you can transfer the CENVAT credit between the units registered as LTU.

[Ram Niwas]

Sir any other provision

[Pradeep Khatri]

No Sir, there is no such provision but you may transfer SAD amount to your unit on quaterly basis.  This provision was introduced in this Budget, 2012.