Endorsement of Bill of entry

[palaniappan thirukalathiappan]

Dear Members,

We have imported material and the Bill of Entry was generated in the name of Corporate office. Since we need the material at our different unit, we have endorsed the same bill of entry and full quantity shifted to the other unit and  availed cenvat credit.

Please clarify, are we elgible for Cenvat credit?.  Please provide if any circulars, case laws in favour of us. Besides, present status of CEX Circular no. 267/83/2008-CX-8 dtd.9/10/2009.

 

Thanks in advance for your valuable replies.

 

Srinivas

 

[YAGAY and SUN]

Current  Cenvat Credit Rule, 2004 as amended time to time, do not support the endorsement of bill of entry but since the material has been used in manufacturing of finished goods then it should be allowed.  Further, while filing of bill of entry, you can choose the appropriate branch code from IEC, in this way, you will get the appropriate code on the bill of entries, for your units where you need the imported goods.

I could not find out the  CEX Circular no. 267/83/2008-CX-8 dtd.9/10/2009.  Please share it with me that what this circular is all about so that I could revert on this.

[Medreich Limited]

Endoresed bill of entry continues to be a bill of entry and therefore coninues as an eligible document in term of Rule 9(1)(c).Ref: Tribunl case of Maharaja International Ltd. Vs. CCE. Jaipur  (1996 (7) TMI 238 - CEGAT, NEW DELHI) = 1996 (86) ELT 528 where in the Tribunal categorically held that an endorsed bill of entry did not cease to be a bill of entry. Ref; Department Ciruclar No. 179/13/96-CX dated 29/02/1996

Circular No refered in your query No.  267/83/2008-CX-8 dtd.9/10/2009 is a draft ciruclar not a final circlar.

AI Summary

Endorsed bill of entry remains eligible for Cenvat credit when imported goods are used in manufacture, subject to rules compliance.
An endorsed Bill of Entry continues to be an admissible Bill of Entry for Cenvat credit where imported goods are used in manufacture, though the Cenvat Credit Rules favour filing with the appropriate branch code to reflect the consuming unit; a referenced circular was a draft and not final.