TaxTMI 
TaxTMI 
Capital goods removed after 10 years
X X X X Extracts X X X X
X X X X Extracts X X X X
....apital goods removed after 10 years<br> Query (Issue) Started By: - SANDESH SHINDE Dated:- 31-7-2014 Last Reply Date:- 31-7-2014 Central Excise<br>Got 2 Replies<br>Central Excise<br>Dear Sir, Is excise duty payable on capital goods removed after 10 years,if yes pls give us any reference regarding this,pls explain, thanks and regards Reply By Pradeep Khatri: The Reply: Dear Sandesh, Please chec....
X X X X Extracts X X X X
X X X X Extracts X X X X
....k Rule 3(5) (5A) (5B) and read with proviso of the CENVAT credit Rules, 2004 as amended from time to time in this regard. Regards Team YAGAY and SUN (Management and Indirect Tax Consultants) Reply By Rajagopalan Ranganathan: The Reply: Dear Shri. Shinde, Please follow rule 3 (5A) of CENVAT Credit Rules, 2004 which is reproduced hereunder: - (5A) (a) If the capital goods, on which CENVAT cre....
X X X X Extracts X X X X
X X X X Extracts X X X X
....dit has been taken, are removed after being used, the manufacturer or provider of output services shall pay an amount equal to the CENVAT Credit taken on the said capital goods reduced by the percentage points calculated by straight line method as specified below for each quarter of a year or part thereof from the date of taking the CENVAT Credit, namely:- (i) for computers and computer periphera....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ls: for each quarter in the first year @ 10% for each quarter in the second year @ 8% for each quarter in the third year @ 5% for each quarter in the fourth and fifth year @ 1% (ii) for capital goods, other than computers and computer peripherals @ 2.5% for each quarter: Provided that if the amount so calculated is less than the amount equal to the duty leviable on transaction value, the amo....
X X X X Extracts X X X X
X X X X Extracts X X X X
....unt to be paid shall be equal to the duty leviable on transaction value. (b) If the capital goods are cleared as waste and scrap, the manufacturer shall pay an amount equal to the duty leviable on transaction value.]<br> Discussion Forum - Knowledge Sharing ....