Cenvat Refund

[JAGANATHAN KUMARAVEL]

Can a manufacturer avail the refund benefit under Rule 5, if he has imported some of the parts of export goods under Advance Licence and also procured locally major items on payment of central excise duty. . Can the manufacturer claim the refund for items procured in India by payment of Excise Duty and used in the exported goods

AI Summary

Manufacturer Seeks Refund Eligibility Under Rule 5 for Local Items in Exports; Must Balance Cenvat Account First A manufacturer inquires about the eligibility to claim a refund under Rule 5 for locally procured items used in exported goods, despite importing some parts under an Advance Licence. The response suggests that if exports significantly exceed domestic sales, the manufacturer should balance the Cenvat account and then file a refund claim for the unutilized Cenvat credit balance under Rule 5.