ST PLANT DUTY CREDIT

[SHARMA NARAYAN]

we are given pkg order to party for setup water treatment plant,

he imports material and reimbursement of cenvat and additional duty and cvd from us

can we take cenvat credit on that BE but there is no ref of our company,

how can we claim the duty , party is issuing the letter to us

can we take credit on that

[YAGAY and SUN]

It seems that your supplier is not registered with Central Excise Department as registered importer. However, since ownership and usage will be yours then subject to CENVAT credit Rules, 2004 provisions you may avail the CENVAT credit. Also check with your jurisdictional range officers.

[KASTURI SETHI]

Letter is not valid doc for taking credit under Rule 9 of Cenvat Credit Rules, 2004. You cannot take credit on the strength of Bill of Entry which is not in your name.

[Ganeshan Kalyani]

I agree with the views of Sri Kasturi Sir.

[MUKUND THAKKAR]

suggested by Sh.Kasturi Sethiji is 100% right... 

you are not eligible to take cenvat credit..

[YAGAY and SUN]

Since your supplier is providing you with the Bill of Entry, you could be eligible but there was change in law in 2015 which made mandatory for the importer of the goods to get them registered with the Central Excise Department as registered importer if they willing to pass on the CENVAT credit on imported goods sold as such. Due to change in law you are not eligible to avail the CENVAT credit. Issuance of letter are the secondary issues and there is no relevance of such letter that whether it is defined as appropriate document under Rule 9 or not.

[Ganeshan Kalyani]

In my view there is valid reason to check whether the letter is a cenvatable document or not as per rule mentioned before availing the credit . Also the passing of credit mechanism by a registered dealer is already in place in the provision. Thanks.

[SHARMA NARAYAN]

can we take credit on below ref

in the terms of Rule 9(1)(C) of cenvat credit Rules 2004 r/w Public Notice No.16/2006 dtd. 22-03-2006 & P.N.NO. 34/06 Dt.24.05.06 both issued by commr.customs (import) mumbai

Pls guide

[Himansu Sekhar]

Rule 9 prescribes certain conditions about mention of various parameters which is lacking in your case. He cannot pass on the credit to you. Your name must have been there as consignee

AI Summary

CENVAT credit eligibility requires importer registration and Bill of Entry in consignee's name to claim credit.
CENVAT credit is claimable only where import documentation satisfies the Cenvat Credit Rules: the Bill of Entry must identify the consignee and the importer must be eligible and registered to pass on credit; a supplier's letter or reimbursement arrangement does not substitute for the prescribed documentation and thus does not permit taking credit.