TaxTMI 
TaxTMI 
Compounded levy --- Re-rolling mills and induction furnaces – withdrawal of scheme – CENVAT on ad-valorem basis
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....e scheme of levy of excise duty based on capacity of production under section 3A of the Central Excise Act,1944, in respect of hot steel re-rolling mills and induction furnace units is being discontinued w.e.f. 1st April, 2000. Accordingly, notification No.24/97 (NT), dated 25 July, 30/97(NT), 31/97(NT), 32/97(NT), 47/97, 48/97, 50/97, 58/97,all dated 1st August, 1997, are being rescinded w.e.f. 1....
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....as on 1.4.200 may be treated as duty paid duty paid and such stocks shall not be required to suffer any further ad-valorem duty when they are cleared from the re- rolling mills or induction furnace units on or after the 1st day of April, 2000. The re-rolling mills and induction furnace units may also be advised to indicate on the invoices, when such stock is cleared, that the duty thereon was paid....
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....gly taken would meet with the consequences prescribed under the CENVAT rules. 5. A question has been raised as to whether the re-rolling mills and induction furnace units would be eligible to take credit of the duty paid on capital goods received in the factories during the period 1.9.1997 till 31.3.2000. In this context it is clarified that no such credit is admissible in respect of such capit....
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....h units in respect of the quantity of finished goods, inputs and waste and scrap lying in their stock on 1st April, 2000 8. As mentioned earlier, the stocks of finished goods as on 1st April, 2000 have been allowed to be cleared without payment of duty. It has been decided to allow deemed credit to the users of such stock. For this purpose notification no. 29/2000/ Central Excise, dated 31 Marc....