excise on sale of machinry

[APPALI MURTHY]

1. we are selling the machinery purchased on 2 years back with out excise duty (glass annealing wire mesh conveyor electric furnace) now. whether i have to add duty on that machinery after deduction of depreciation as on date or not

2. Another machinery purchased on 04.05.2011 with duty also now we are selling what is theimplication of excise and deprection

AI Summary

Cenvat reversal on sale of capital goods requires repayment reduced by prescribed quarterly depreciation, or none if credit wasn't taken.
CENVAT reversal applies when capital goods on which credit was taken are removed: the seller must repay the CENVAT credit reduced by prescribed quarterly depreciation computed by the straight line method under Rule 3(5) of the Cenvat Credit Rules, 2004; computers and peripherals have different quarterly reductions while other capital goods follow the standard quarterly reduction. If CENVAT credit was not taken on the machinery, no reversal is required.