Cenvat credit availability on desktop used in factory

[SANDESH SHINDE]

Dear Sir, Please advise whether we can avail cenvat credit on desktop used in the factory of the manufacturer. If yes request you yo quote the rule under which we can avail the same. Thanks and regards. Sandesh Shinde.

AI Summary

Cenvat Credit Eligibility Expanded: Rule 2(a) Now Includes Desktops Used in Factory Offices for Credit Claims. A discussion on the eligibility of Cenvat credit for desktops used in a factory setting concluded that credit is generally permissible. Initial responses indicated credit could be claimed if the desktop is used for manufacturing-related activities, but not for administrative purposes. However, subsequent replies clarified that amendments to the Cenvat Credit Rules, particularly Rule 2(a), now allow credit for desktops used in office settings within the factory. References were made to relevant notifications and case law, suggesting that equipment used in factory offices, including computers, qualifies for credit under the revised rules.