Cenvait Availment facility

[Sharad Sonawane]

Dear Sir,

 

  We have Trading Unit in Mumbai i have taking all the benefit of Cenvat credit

now i want Shift my Trading unit in Other State in MP (Indore) can transfer my cenvat credit other place or can i take Cenvat benefit in new location and New location i have taken new excise & service tax registeration

[YAGAY andSUN]

Traders never take or avail the CENVAT credit, they, just pass on it.

[JAMES PG]

It appears that you have taken Excise Registration as a Dealer and availing Cenvat Credit in RG23 D as First Stage or Second Stage Dealer. If you are opening another business place in MP, you can obtain separate Dealer Registration there and can issue Invoice in the name of the newly registered premises alongwith the goods. Cenvat as per the Invoice can be taken at MP in their RG23 D and can issue Cenvatable Invoices

[Vijay kumar]

Since you are a dealer, you better square up your cenvat credit account since Rule 10 of Cenvat Credit Rules, 2004 does not provide for transfer of cenvat credit balance to dealers. Hence u may make the balance as zero at the old place and start afresh at the newly registered premises.

[MANDAVILLI RAMAKRISHNA]

thanks to mr. vijayakumar for enlightening us.

can't we avail cenvat input credit on stock transfers?

i hope mr. james is correct. please clarify

AI Summary

Cenvat credit transfer prohibited; dealers must zero old balances and claim credit at newly registered premises via invoices. Dealers generally do not avail Cenvat credit but pass it on, and the Cenvat regulatory framework does not permit transfer of accumulated credit balances between dealer registrations. The practical approach is to reconcile and clear the old Cenvat account, obtain a separate dealer registration at the new premises, and claim credit at the new location only on proper invoices; the treatment of input credit on stock transfers remains an open operational query.