Tran-1 credit for old Capital Goods

[Avishek Modi]

During Jan 2013 we imported machines for our factory (SSI).

Factory was registered under excise but we could not avail MODVAT for the CVD/SAD on the imported machines as our manufacturing turnover never crossed ₹ 1.5 crores and there was no excise payable by us.

Can we take credit for the CVD/SAD on these machines supported by the BOE in the Tran-1 6a?

AI Summary

Tran-1 credit eligibility for old capital goods faces limitations under time-bar and return-balance conditions on CVD and SAD claims.
Eligibility to claim Tran 1 input tax credit for pre GST capital goods (including CVD and SAD) is disputed: one position accepts credit supported by the bill of entry in Tran 1 Table 6(a), but transitional restrictions apply. Key disqualifiers noted are invoices exceeding the permitted time limit and absence of reflected credit in the closing balance of the legacy return, and questions arise whether disposal of assets and Tran 2 adjustments affect entitlement.