Sale of a product to 100% eou

[GANESH B]

We are having manufacturing unit getting excise credit. can we sell the same product to a 100% eou unit by taking CT3 form

[Surender Gupta]

Yes, you can avail cenvat credit on inputs used in Finished Goods sold to EOU against CT-3 form without payment of duty. For this purpose, you are not required to proportionate the credit. You can avail full credit.

[Guest]

agreed with the views of surender gupta

[RadheyShyam Mangal]

yes u can sell your goods without payment of duty to the eou and u need not to reverse the credit taken on inputs used in the manufacture of said goods.

[RadheyShyam Mangal]

u can sell the raw material as such to the eou against CT-3.

AI Summary

Cenvat credit retained where goods are sold to an export-oriented unit against CT-3, without duty payment required. Cenvat credit on inputs used in goods sold to an export-oriented unit against CT-3 may be availed in full without payment of excise duty, and such credit need not be proportionately reversed. This position covers both finished goods and raw materials supplied as such, provided the sale is effected against the CT-3 form.