Refund of unused CENVAT credit

[biren parikh]

We have a manufacturing unit and have excise registration and from past 1 one year unit is not working and we have unutilized credit lying in our CENVAT how can we encash the credit it will also be ok if we have to surrender the registration.

AI Summary

Manufacturing Unit Can Reclaim Unused CENVAT Credit Due to Export Under Bond per Rule 5; Refund Process Detailed A manufacturing unit with excise registration, inactive for a year, inquired about encashing unused CENVAT credit. One response suggested that if the credit accumulation is due to export under bond, a refund could be claimed under Rule 5 of the Cenvat Credit Rules, with specific documentation required, including a refund application, records of input duty credit, and shipping documents. Another response confirmed that refund under Rule 5 is the only option for reclaiming unused credit. A third participant mentioned accumulating CENVAT due to limited output liability from assembling activities and sought advice on managing this issue.