Cenvat Credit on Solvent Cement

[Laxmaiah Vanamamula]

Dear sir,

we have a registered  PVC Pipes manufacturing company,

we purchased  from outside " Solvent Cement". we supply to Customers along with pipes Solvent Cement.(Solvent cement Material and value not shown separately in the Our sale Invoice but the Solvent cement value is also included in Pipes Value)

can we eligible to take cenvat credit on above " Solvent Cement"

Please clarify,

Thanking you,

V.Laxmaiah

[YAGAY and SUN]

Dear V Laxmaiah,

You may avail the CENVAT credit on the Solvent Cement as accessory as the value of Solvent Cement is included in the value of pipes and you are paying Central Excise Duty on such amount.

Regards,

Team YAGAY & SUN

(Indirect Tax Consultants)

AI Summary

Cenvat credit entitlement for solvent cement used as accessory follows where its value is included in invoice and duty paid.
Where solvent cement is supplied with PVC pipes and its value is included in the pipes' sale value on which Central Excise duty is paid, the solvent cement constitutes an accessory input and the manufacturer may avail CENVAT credit on that component, subject to compliance with the standard credit conditions and documentation requirements.