Cenvat credit on Civil structural steel work

[yateen vyas]

Respected Expert,

In our factory we are using services like repair & maintenance and fabrication of simple structure for capital goods operation.For every work which are related to fabrication either for capital goods or any other work we are using same terms as "Civil structural steel work".

So my question is that are we eligible to avail cenvat credit on civil structural steel work.

[KASTURI SETHI]

Dear Querist, Pl. read this. It may be helpful to you.

2016 (42) S.T.R. 605 (A.A.R.) = 2016 (1) TMI 1053 - AUTHORITY FOR ADVANCE RULINGS IN RE : INDUS TOWERS LTD.

[Himansu Sekhar]

Yes, you are eligible for taking credit if you manufacture steel structural as finished goods and clear them to others.

If you fabricate steel structural and these are used inside the factory for support of capital goods, thecredcit is not allowed. Rule 2(k) of CCR prohibits such credit.

[yateen vyas]

We are manufacturer of rubber article we have provided contract for all repair & maintenance work these are like making of railing,making of platform,any new addition to machine.

[KASTURI SETHI]

Sh.Himansu Share, an expert has already cleared the matter.

[Himansu Sekhar]

Credit on Work contract services for supporting structural not available

[yateen vyas]

Thank you experts.

AI Summary

Cenvat credit on civil structural steel work allowed when supplied as finished goods, not for internal support or work-contract services.
Credit on civil structural steel work is available when the steel structures are manufactured as finished goods and cleared to others. Credit is not available where fabrication or repair is undertaken for internal use to support capital goods or factory operations, and credit on work-contract style services for supporting structural elements used within the factory is likewise not allowable.