TaxTMI 
TaxTMI 
Payment of duty with the scrap value
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....ayment of duty with the scrap value<br> Query (Issue) Started By: - Manoj Sharma Dated:- 6-2-2007 Last Reply Date:- 17-2-2007 Central Excise<br>Got 2 Replies<br>Central Excise<br>An Excisable unit has....
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.... purchased some capital goods and packing materials ( input) after following cenvat rules.Now unit is going to close my queries are :- 1. Whether Capital goods ( machinery ) can be sold as Scrap & Wes....
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....tage and pay the amount ( duty) levy on it as per Cenvat Rule 3 (5A).? 2. In regard of Packing materials as it is not usable or transferable to other unit as it is printed and not reusable can we scra....
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....p it and pay duty on scrapped value or we have to pay duty the amount of cenvat credit taken at the time of purchase as per Rule 3(5) ? Manoj Reply By Surender Gupta: The Reply: If an excisable unit ....
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....is going to close, it has to ascertain that all the inputs or capital goods on which Cenvat Credit has been lying in stock, either to reverse the Cenvat Credit originally taken or to pay the excise du....
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....ty as per the applicable rules. Reply By Madhukar N Hiregange: The Reply: Capital goods which are used can be argued not to be as such under Rule 3(5) of CCR. Madhura Coats Tribunal decision also conf....
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....irms this. Inputs reversal would be required. Scrap is also a finsihed item. preferable sell it on transaction value<br> Discussion Forum - Knowledge Sharing ....