transfer of finished goods on de-merger.

[PRANAB PANDA]

Dear Experts

Our unit is an integrated Stainless Steel Plant and the existing Coke Oven i.e. Coke manufacturing facility will be transferred to new unit formed as per the scheme of de-merger.

Presently we are maintaining Daily Stock Register for all the products i.e. Stainless Steel products and also the Coke which is manufactured in Coke Oven Plant.

After de-merger, the Coke Oven facility will be transferred to separate legal entity and we will take separate Excise Registration for that entity.

In this context my specific query is the modality of transferring the closing stock of Coke finished goods / coal tar from the Daily Stock Register of our unit to newly formed entity.

AI Summary

Cenvat credit on stock transfer allowed when excisable goods are moved under prescribed excise rules following departmental intimation.
Transfer of excisable finished goods on de merger must be preceded by intimation to and dated acknowledgment from the jurisdictional Range Officer, effected on the regular invoice book with the words "stock transfer" and a reference to the de merger communication, and all shifting documents retained by both units. The transferee may claim Cenvat credit based on that stock transfer invoice after quantification, certification and intimation to the Assistant Commissioner and Range Officer, subject to departmental verification.