It is the choice of the Small Scale Sector (SSI unit) which type of exemption it will avail and that option must be informed to the Department:
Avail full exemption upto 1.50 Crores and pay normal duty thereafter. Such units can avail Cenvat credit on inputs after reaching turnover 1.50 Crores in that particular financial year.
Small Scale Sector (SSI unit) can also pay duty on 100% despatch and avail full Cenvat Credit on inputs.
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