Computation of Installed Capacity of Old/ New Plant

Computation of Amortization Cost of Tools (Moulds/ Dies) used in the manufacture of components/ parts

Amortization is defined as writing off an intangible asset investment over the projected life of assets, which may be tools/ dies/ moulds required in the manufacture of parts. The amortization refers to expensing the acquisition cost of tools minus residual value in a systematic manner over the estimated useful economic lives to reflect their expiration, obsolescence, or other decline in values as a result of use with the passage of time.
Reputed automobile / consumer durables companies outsource production of parts to vendors and supply them tools/ dies/ moulds. However, they need amortization cost of tooling supplied by them as tools have limited useful lives after which they are discarded as scrap.

MOEF E-Waste

Certifying whether imported equipment/ machine can be considered as e-waste or not. Based on the certificate, MOEF & CC issues letter to the importer thus enabling them to get the imported items cleared from the customs.

Useful Lives of Assets to compute Depreciation

Ministry of Company Affairs, MCA, has defined norms for determining depreciation of assets. The Companies Act 2013 emphasizes on the concept of USEFUL LIFE of assets.
The useful life of an asset is the period over which an asset is expected to be available for use by an entity, or the number of similar units are expected to be obtained using that asset in production by the entity. The monetary value of an asset decreases over time due to use, wear and tear or obsolescence. This decrease is measured as depreciation. The depreciable amount of an asset is the cost of an asset or other amount substituted for cost, less its residual value.
The useful life of an asset shall not ordinarily be different from the useful life specified in Part C of Schedule-II. Where a company adopts a useful life different from what is specified in Schedule-II or uses a residual value different from the limit as specified, the financial statements shall disclose such difference and provide justification in this behalf duly supported by technical advice from a Chartered Engineer.

Investment In Plant & Machinery for Medium Enterprises

Certification of Investment in Plant & Machinery for a Medium Enterprise engaged in the manufacture/ production of goods pertaining to any industry specified in the first schedule to the industries (Development and Regulation) Act, 1951, Govt. of India, where the investment in plant & machinery is more than ₹ 10 Crores but not exceeding ₹ 50 Crores.

Bill of Materials (BOM) submitted by Solar Power Installers / Developers

Chartered Engineer has to certify BOM for setting up SOLAR POWER PROJECT, which enables the developers to avail concessional customs duty benefits from MNRE (Ministry of New and Renewable Energy). Reconciliation Certificates are also required after the project is commissioned successfully and components imported by the company are installed in the project.

Bio Mass Power Plant (Non-Bagasse) Certification

MNRE, Ministry of New and Renewable Energy, offers capital subsidy and central financial assistance (CFA) to Bio Mass Power Plants (Non-Bagasse) which requires certification from a Chartered Engineer towards the applicant company’s requirements of new components for set-up and execution of Biomass based power project.
List of items procured from various suppliers/ manufacturers are required to be certified by Chartered engineer to avail subsidy.

Inputs Used in Production of The Output

Companies have to apply for refund on account of ITC accumulated due to inverted tax structure in FORM GST-RFD-02 to GST authorities for claiming refund - For that Chartered Engineer certificate is required by the competent authorities for processing their refunds- Please contact me as I have been issuing such certificates which will enable companies to claim refund.