base on the text below, i would like to know why it says "he can avail this as CREDIT"?
shouldn't be input tax is receivable which is debit side?
Based on this, if any manufacturer purchased a material, which is duty paid, and if it is used for his further manufacturing activity, he can avail this as credit in his book based on the Central Excise Invoice. At the time of selling his manufactured goods, he is liable to pay the excise duty. He can adjust the credit which he has taken into his book and pay the rest. For example:
CENVAT availed at the time purchased various goods Rs.20,000 (EXcise duty alone)
CENVAT payable for his product at the time sales Rs.25,000
He will pay only Rs.5000 through cash deposit in PLA.