EXCISE ACTIVITIES- SITE

[HITENDRA DAVE]

Dear sir

Q-1 , we are manufacturing heavy machenery under chapter 84 , and also work in EPC project my question is we want to shifting DG set  from Ahmedabad to Bhatinga  for our project site  and thereafter finish the project  come back from Bhatinda to Ahmedabad, what is the procedure

Q-1 We send same Steel Plates at our project site from Ahmedabad to Bhatinda and this plates not came back from Bhatinda  to Ahmedabad  what is the procedure

With Regards

Hitendra Dave

[Amit Apshankar]

Q1- DG Sets Transfer to the site

--- DG sets is fallow under capital goods as per Cenvat Credit Rule, 2004,You can transfer under challan 4(5)(b)

Q2- Steel Plates ------ From your question it is not clear were is the use of these steel plates ,or it is your raw material it is better to you discharge the duty while clearing these plates under the cost +10% mark up

AMIT

 

[YAGAY andSUN]

DG set canbe sent without payment of duty on a challan and it should be come back within 180days.

Steel plate can be removed on payment of duty or on reversal of equivalent CENVAT credit or on Cost + 10% (as the case may be).

AI Summary

Capital goods transfer on challan allows duty-free movement to project sites with requirement to return within prescribed period. Capital goods may be transferred to a project site without duty on a challan under the Cenvat Credit Rules, subject to return to the place of removal within the prescribed period. Inputs not returned from site (such as steel plates) attract excise liability and must be regularised by paying duty, reversing equivalent Cenvat credit, or clearing on a cost-plus valuation with the prescribed markup.