Question
I have imported the machinery in excise and I took 12.5% ??CVD and 4% AED credit. Now I want to sell this machinery, how to do reversal of this duty?
Answer
As per section 7 of CGST Act sale of machinery
will be covered under definition of Supply. So you have to pay GST on
Transaction value.
The provision of CENVAT Credit Rules relating to sale of old machine will not
apply. So don't reduce amount of CENVAT i.e. 2.5% per quarter. Instead of that
pay tax on transaction value. (Reply dt.07/08/2018)