CREDIT ELIGIBLE FOR CAPITAL GOODS UNDER CENTRAL EXCISE RULE 2(A)

[Guest]

dear experts,

credit of capital goods (HSN. 84279000 ELECTRIC TOW TRUCK) can be taken , we are using it as a trolley , carry the material from one place to another place in the manufacturing premises.. like carry raw material , semi finished goods , finished goods etc. nothing it's more role ..

pls. do the needful ...

regards,

manan

[PAWAN KUMAR]

dear sir,

cenvat credit is admissible on this.

[KASTURI SETHI]

I endorse the view of Sh.Pawan Kumar, an expert.

[Ganeshan Kalyani]

Sir, in addition to the views of the experts I would like to submit that Capital Cenvat credit should be taken half in the year in which it is purchased and balance in subsequent year. Thanks.

[KASTURI SETHI]

Yes. You are right Sir.

[Guest]

thank you so much to all experts,

AI Summary

Cenvat credit on capital goods admissible; phased claim allowed across purchase year and subsequent year. Cenvat credit is available on a capital good (electric tow truck used as a trolley within manufacturing premises) when deployed for moving raw materials and finished goods, thereby qualifying as an eligible capital good under central excise. Commentators note a compliance practice of phasing the capital credit claim, taking part in the year of purchase and the balance in a subsequent year.