cenvat credit

[sanjay gupta]

we are producing rectified sprit for making country liquor 

I have regisreed  with state Excise department 

we have purchased capital goods and paid central excise duty thiere on 

can we take credit of central Excise Duty against sale of Rectified sprit 

Please guide us.

 

 

AI Summary

CENVAT Credit Not Applicable for Capital Goods in Liquor Production Due to Lack of Central Excise Duty A query was raised about the eligibility to claim CENVAT credit on central excise duty paid for capital goods used in producing rectified spirit for country liquor. One response indicated that CENVAT credit could be availed for capital goods used in manufacturing rectified spirit if it is cleared from the factory with duty payment. Another response clarified that since state excise duty applies to liquor and no central excise duty is levied on it, CENVAT credit on capital goods is not applicable for products on which central excise duty is not charged.