1.
Rule 10 of Cenvat Credit Rule, 2004 specify that - If a manufacturer of the final products shifts his factory to another site or the factory is transferred on account of change in ownership or on account of sale, merger, amalgamation, lease or transfer of the factory to a joint venture with the specific provision for transfer of liabilities of such factory, then, the manufacturer shall be allowed to transfer the CENVAT credit lying unutilized in his accounts to such transferred, sold, merged, leased or amalgamated factory.". If your case falls in any of these categories, the credit can be transferred,subject to fulfilment of Rule 10(3). If not, it shall be a case of Rule 3(5) ibid whereby used capital goods on which credit has been taken have to be removed on payment of duty after allowing for proportionate depreciation. If it comes to 100% depreciation, then the case would be covered under Rule 3(5A) ibid. The duty paid in the DTA can be availed as credit by EOU and can be utilized for payment on DTA sales by the EOU.