https://www.taxtmi.com/circulars?id=7578 Clarification: under Notification No. 2/2001, manufacturers may not take CENVAT credit for inputs used in the manufacture of exempt final products. For sales to relief agencies funded by cash donations, a manufacturer must either maintain separate accounts for inputs used in dutiable and exempt goods and claim credit only for dutiable usage, or, absent separate accounts, pay either the input-attributable CENVAT amount for specified goods or eight per cent of the total price for other exempted goods at clearance. For direct donations (no sale), the manufacturer cannot reverse the standard percentage and must maintain separate records and not claim credit for inputs used in exempt goods. en-us Fri, 16 Feb 2001 00:00:00 +0530 Tue, 15 Sep 2009 14:19:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/circulars?id=7578 Clarification: under Notification No. 2/2001, manufacturers may not take CENVAT credit for inputs used in the manufacture of exempt final products. For sales to relief agencies funded by cash donations, a manufacturer must either maintain separate accounts for inputs used in dutiable and exempt goods and claim credit only for dutiable usage, or, absent separate accounts, pay either the input-attributable CENVAT amount for specified goods or eight per cent of the total price for other exempted goods at clearance. For direct donations (no sale), the manufacturer cannot reverse the standard percentage and must maintain separate records and not claim credit for inputs used in exempt goods. Circulars Central Excise Fri, 16 Feb 2001 00:00:00 +0530 https://www.taxtmi.com/circulars?id=7578