CENVAT credit option allows first and second stage dealers of specified goods to pay equivalent excise duty on removal. A new sub-rule allows first and second stage dealers exclusively dealing in specified tariff chapters to elect to remove goods on payment of an amount equal to the excise duty leviable; the option is irrevocable for the financial year, dealers may use existing CENVAT credits to pay that amount, and such payments qualify as CENVAT credit. The amendment also broadens rule 9A wording from 'yarn and unprocessed fabrics' to 'yarn or fabrics' and substitutes a later compliance date for a transitional provision.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
CENVAT credit option allows first and second stage dealers of specified goods to pay equivalent excise duty on removal.
A new sub-rule allows first and second stage dealers exclusively dealing in specified tariff chapters to elect to remove goods on payment of an amount equal to the excise duty leviable; the option is irrevocable for the financial year, dealers may use existing CENVAT credits to pay that amount, and such payments qualify as CENVAT credit. The amendment also broadens rule 9A wording from "yarn and unprocessed fabrics" to "yarn or fabrics" and substitutes a later compliance date for a transitional provision.
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