CENVAT credit receivables which cannot be set off allowable as expense

Nagesh Knitwears Pvt. Ltd. Vs ACIT (ITAT Delhi) Primarily, we find that the writing off of unutilized CENVAT credit has been allowed by the revenue in the A.Y. 2010-11. Notwithstanding that, we have examined the issue. The assessee is in the business of manufacturing of woolen, cotton and blended hosiery knitwears declared taxable income of Rs.2.57 crores. Whenever the Excise Duty is written off at the time of surrender of excess registration certificate as the assessee would no longer be in a position to utilize the Excise Duty. The assessee pays CENVAT on purchase of raw material and claims ...