Captive Consumption

[JSWSEVERFIELD STRUCTURESLIMITED]

 

Dear Sir,

We are using some of our Intermediate products within the factory as captive consumption., and we have raised the Self Invoice by adopting Rule 8 of the Valuation Rules and discharged the duty.

 My query here is am i eligible to avail Cenvat Credit on the Invoice raised by us as Self.

Please offer your valuable suggestions for availing cenvat credit.

Regards,

 

ChittiLal. Agarwal.

AI Summary

Captive consumption exemption permits invoice based treatment and allows Cenvat credit if duty was paid or cost certification provided.
Intermediate goods used as captive consumption are exempt under Notification No. 67/95 CE and invoices should reference that exemption. If a self invoice is raised under the Valuation Rules and duty is discharged, Cenvat credit can be availed on those invoices, subject to departmental requirements such as a cost accountant certificate (CAS 4) to substantiate production cost and support the credit claim.