AB Pipe Ltd. is engaged in the manufacture of water pipes. From the following details for the month of May, 2014, compute the amount of CENVAT credit available to them under the CENVAT Credit Rules, 2004: CENVAT paid on

Computation of CENVAT Credit available to AB Pipe Ltd. Particulars CENVAT paid (₹) Credit Admissible (₹) Raw steel 42,000 42,000 Water pipe making machine (50% of ₹16,000) 16,000 8,000 Spare parts for above machine (50% of ₹9,000) 9,000 4,500 Grease & Oil 3,000 3,000 Diesel 12,980 Nil Office equipment 42,560 Nil Total CENVAT credit admissible 57,500 Note: It is assumed that the assessee is not an SSI. For raw materials, grease & oil 100% CENVAT credit is admissible. Water pipe making machine and spare parts for machine are capital goods and so 50% of the credit will be admissible in the current financial year and the remaining in the successive financial year. Rule 2(k)(i) of the CENVAT Credit rules, 2004, specifically excludes diesel from the definition of 'input', thus credit is not admissible. Office equipment is not considered as capital goods for CENVAT credit purposes.