When is CENVAT available on Inputs?

A ltd is a factory

It purchased goods  from X ltd for 100 lacs+12.5% Excise Duty

X dispatched goods on 10 April but it was received in factory on 14 April.Payment was made on 18 April.

When can A claim Cenvat of 12.5 lacs?

Q2

Solve Q1 assuming A is a service provider?

Q3  

A ltd is a factory

It purchased goods  from X ltd for 100 lacs+12.5% Excise Duty but asked X to dispatch goods directly to Jobworker J

X dispatched goods on 11 May but it was received by J on 13 May.

J did job work on goods and finally dispatched it to A on 16 May which was received by A on 17th May

Payment was made on 18 May

When can A claim Cenvat of 12.5 lacs?

 

Cenvat is available immediately on RECEIPT OF INPUTS  in the

Factory -in case of Manufacturer

Premises -in case of Output Service Provider

Jobworker Premises - In case goods are sent directly to the job worker on the  direction of the manufacturer or the provider of output service,

(NEW AMENDMENT)

Note:

Effect of Amendment-

Goods sent directly to jobworker

Sometimes, manufacturer/service provider purchase goods/capital goods and send them directly to jobworker for processing.

Earlier, credit was available only when goods were ultimately received by factory of manufacturer/service provider premises

Now, Cenvat is available to manufacturer/service provider  as soon as the goods are received by jobworker

[Rules 4(1) and 4(2)(a)]

Service Provider can store or take inputs outside its premises also

Credit can be availed by an output service provider even if the inputs are not received in the premises of the output service provider , but are delivered at some other place;

Documentary Evidence of delivery and location of such Inputs is required to be maintained.

Articles of Jewellery/Precious Metal manufactured on Jobwork

Cenvat on inputs available immediately on receipt of such inputs by the principal manufacturer

(Even though actual manufacture is done by job worker, input is available to principal manufacturer, person who gets them manufacturer)