Income tax benefit & CENVAT credit

[yujin kim]

Dear sir

We are 100% job worker from 2006 onwards.

We have taken income tax benefit regarding tax parts.

For example, we have imported machinery and paid for customs duty(excise duty)

This duty is going to expenses. not assets. (taken depreciation from basic + duty )

We have a plan to manufacture own brand.

So, we want to take CENVAT credit.

I've heard we can change only 1 year back income tax return as per Income Tax Act,1961

then our CENVAT credit amount is 50,00,00Rs.

If we can change from 2006 onwards, then our CENVAT credit amount is 2 crore.

Is it possible to put 2 crore as a CENVAT credit amount and reverse 2 crore amount depreciation one time this financial year?

If this is possible, we want to reverse all income tax benefit(Depreciation from total amount)and take the CENVAT credit.

[YAGAY andSUN]

Though, this is possible but this action may lead to unwanted litigation.  It is advisable to get an opinion from the outside consultant after discussing all material facts.