CENVAT in excess

[Raja krishnan]

Sir,

our client as a manufacturer status as well as having excess balance of CENVAT Credit obtaining from the Capital Goods and Inputs purchases. Now if they are eligible to receive cash refund that the aforesaid excess credit, but please be noted, they are doing exports and domestic sales also. So my doubt is they are eligible for cash refund for the utilized accumulated Cenvat credit?

AI Summary

Manufacturer Seeks Cash Refund for CENVAT Credit; Eligible for Exports with Conditions, Not for LUT Clearances. A client, a manufacturer with excess CENVAT credit from capital goods and inputs, inquired about eligibility for a cash refund of this credit, given their involvement in both exports and domestic sales. Respondents clarified that cash refunds are available for CENVAT credit used for exports, subject to specific conditions and procedures. Refunds can be claimed through a rebate for exports, provided all necessary documentation, such as proof of export and bank realization, is submitted. However, refunds are not available for clearances made under a Letter of Undertaking (LUT).