Clarification regarding Cenvat Credit in transit sale through dealer

Cenvat Credit in transit sale: direct dispatch permits credit on supplier's invoice where consignee receives goods directly.

The circular clarifies that newly inserted provisos to rule 11(2) permit Cenvat Credit to be taken by a consignee on the basis of a Cenvatable invoice issued by a registered dealer or registered importer when goods are transported directly from the manufacturer or port to the consignee, without passing through the dealer's premises. It confirms continuity of prior circulars and rule 9 documentation requirements, states registration requirements remain unchanged, and explains specific scenarios for registered and unregistered dealers and importers regarding invoicing and direct dispatch.