Excess cenvat

[SNEHAL SHAH]

Sir,

We are group of company , our one unit exporting material about 80% and another unit export is less final product also different every unit . our point is that our one unit lying at surat , which was accumulated duty about 3 crore and more . So please advise how it is utilise , one option we have rebate claim or refund , we have any onother option athore than this .

 

SACHIN

 

 

 

[Snehal Kulkarni]

 

Dear Mr Shah

You may opt for Large Tax Payer Unit where all the units will registered at single window.

Please go through the conditions for obtaining LTU, if you are complying then go for LTU

When you will be LTU, then you may transfer such unutilised credit to any plant on transfer challan.

This will help you to liquidate the Cenvat.

Another advantage is you can transfer the CG within the group companies at Nil rate of Duty.

 

Till time, you only have option of Rebate/Refund.

 

 

 

AI Summary

Cenvat credit transfer: registering as a large taxpayer unit enables intra-group transfers and liquidation beyond refund. The taxpayer may either claim rebate or refund for unutilised cenvat credit; alternatively, on meeting conditions and registering as a Large Taxpayer Unit, the group can centralise registration and transfer unutilised credit to any plant using a transfer challan, and effect intra-group transfers at nil rate of duty to liquidate accumulated credit.