CVD on Cess is it eligible for CENVAT credit

[Rajan Rajan]

Sir,

CVD on Cess is it eligible for CENVAT credit vide CUS NTF NO. 18/2014 DATE 11/07/2014 for levy of education cess on CVD portion of customs duty leviable on imported IT products.

Similar refer the notification 14 dt. 17^th Mar 2012exempts all the goods falling within the First Schedule to the Customs Tariff Act, 1975 ( 51 of 1975), when imported into India, from whole of Secondary and Higher Education Cess.

Query : Both Cess charged on CVD is it eligible for CENVAT credit.

AI Summary

Eligibility of CVD on Cess for CENVAT Credit Confirmed for Education Cess on Imported IT Products Under Rule 2004. A query was raised regarding the eligibility of CVD on Cess for CENVAT credit, specifically concerning the levy of education cess on the CVD portion of customs duty for imported IT products. The discussion referenced notifications that exempt certain goods from education cess. A respondent clarified that while the exemption does not apply to specific electronic products, both education cess and secondary and higher education cess on the CVD portion are eligible for credit under the CENVAT Credit Rules, 2004. The clarification was acknowledged and appreciated by other participants in the forum.