https://www.taxtmi.com/forum/issue?id=109865 Tool amortisation for tooling provided to a vendor forms part of central excise valuation when components are cleared on payment of duty; the vendor may amortise the tool's cost pro rata over expected pieces and avail cenvat credit if duty was paid. If the tool is transferred between vendors or returned to the principal, duty is payable on the depreciated/residual value and may be credited by the transferee. On scrapping, duty consequences follow either on clearance at transaction value or by destroying the tool and claiming remission. VAT/CST is not applicable to the amortised value. en-us Fri, 12 Feb 2016 11:25:59 +0530 Thu, 23 Jan 2025 15:56:32 +0530 TaxTMI RSS Generator https://www.taxtmi.com/forum/issue?id=109865 Tool amortisation for tooling provided to a vendor forms part of central excise valuation when components are cleared on payment of duty; the vendor may amortise the tool's cost pro rata over expected pieces and avail cenvat credit if duty was paid. If the tool is transferred between vendors or returned to the principal, duty is payable on the depreciated/residual value and may be credited by the transferee. On scrapping, duty consequences follow either on clearance at transaction value or by destroying the tool and claiming remission. VAT/CST is not applicable to the amortised value. Discussion-Forum Central Excise Fri, 12 Feb 2016 11:25:59 +0530 https://www.taxtmi.com/forum/issue?id=109865