Eligible to take Cenvat credit on Solvent Cement

[Laxmaiah Vanamamula]

Dear sir,

We are Manufactures of PVC Pipes & Fittings,

we purchaged solvent cement from out side (including excise duty)

the solvent cement used for  jointing of pvc pipes 

we suppllied solvent cement to customers with pipes( free of cost

we eligible to take Cenvat credit on Solventcement  ?

Please clarify,

Thanking you,

V.Laxmaiah

 

[YAGAY and SUN]

If you had removed solvent cement as such (on payment of duty) then you are eligible for taking CENVAT.

AI Summary

Cenvat credit allowed when inputs are removed as such on payment of duty, permitting credit for supplied solvent cement.
CENVAT credit on solvent cement is available where the solvent cement was removed "as such" on payment of excise duty; removal as such on payment of duty qualifies the solvent cement supplied with PVC pipes for CENVAT credit.