TaxTMI 
TaxTMI 
when we close a plant and tfr some exciseable capital goods to our new plant then what is procedure of transfer When owner is same
capital goods TFr
20 Mar 2013 
4 Replies 
2628 Views Asked by
Transfer of Cenvat credit: intra-company factory transfers need not trigger full reversal if Rule 10 conditions are met.
Where capital goods already used in production are moved from one factory of the same assessee to another, reversal of the entire Cenvat credit taken at receipt is not required; transfers between factories under the same ownership can be accepted without reversal. Rule 10 governs transfer of Cenvat credit and does not mandate prior permission, so post facto permission or intimation may suffice if Rule 10 conditions are satisfied, though administrative practice has varied and factual completeness of the shift affects entitlement. (AI Summary)
Where capital goods already used in production are moved from one factory of the same assessee to another, reversal of the entire Cenvat credit taken at receipt is not required; transfers between factories under the same ownership can be accepted without reversal. Rule 10 governs transfer of Cenvat credit and does not mandate prior permission, so post facto permission or intimation may suffice if Rule 10 conditions are satisfied, though administrative practice has varied and factual completeness of the shift affects entitlement. (AI Summary)