Contact us   Feedback   Subscription   New User   Login      
Tax Management India .com
TMI - Tax Management India. Com
Extracts
Home List
← Previous Next →

2015 (9) TMI 1021 - CESTAT AHMEDABAD

2015 (9) TMI 1021 - CESTAT AHMEDABAD - 2015 (325) E.L.T. 787 (Tri. - Ahmd.) - Reversal of cenvat credit - removal of capital goods after use - removal as waste / scrap or not - whether Appellant is entitled to refund of the duty paid at the time of clearance as wrongly reversal of credit - Held that:- First Appellate Authority has rejected the claim of the Appellant on the grounds that the capital goods were cleared as waste and scrap on which appropriate amount equal to the duty leviable on tra .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

e case of the Appellant was covered under the second proviso to Rule 3(5) and not under Rule 3(5A) of CENVAT Credit Rules, 2004. Following the provisions contained in Rule 3(5), after 10 years of use of the capital goods, the amount of credit required to be reversed becomes zero. Accordingly, it is held that the Appellant was not required to reverse CENVAT Credit taken with respect to the capital goods when removed from the factory as capital goods and was not cleared as waste and scrap of capit .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

m of duty paid/reversed by them towards the clearances of old machines as waste from their CENVAT credit account. 2. Shri Anand Nainawati (Advocate) appearing on behalf of the Appellant argued that the First Appellate Authority had rejected their claim on the ground that the Appellant has cleared waste and scrap of capital goods and that according to Rule 3(5A) of CENVAT Credit Rules, 2004, an amount equivalent to the duty leviable on the transaction value of waste and scrap was required to be p .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

on capital goods is required to be reduced @ 2.5% for each quarter of the year from the date of taking CENVAT Credit. That as per the Page 67 of the appeal memorandum, the CENVAT Credit was taken on 16.04.1997, the machinery was sold on 16.08.2008. That following the reduction method as per the second proviso to Rule 3(5) of CENVAT Credit Rules, 2004, credit required to be reversed becomes zero on 25.11.2006 much before the date of sale. It was thus, his case that no credit with respect to old/ .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

 

 

 

 

 



|| Home || Acts and Rules || Notifications || Circulars || Schedules || Tariff || Forms || Case Laws || Manuals ||

|| About us || Contact us || Disclaimer || Terms of Use || Privacy Policy || TMI Database || Members || Site Map ||

© Taxmanagementindia.com [A unit of MS Knowledge Processing Pvt. Ltd.] All rights reserved.

Go to Mobile Version