cenvat credit taken after 8 month of invoice issue date

[Asked by Guest]

Pl.confirm. allow or disallow. Of cenvat of. This invoice.

[S Rajiv Patro]

Dear Manoj,

As per new rule CENVAT credit sixth amendment 2014, the CENVAT credit can't be availed after 6 months from the invoice date or any of the document which we can avail CENVAT credit.

Kindly refer Notification No. 21/2014-Central Excise (N.T.) for better clarification.

Thanks

[YAGAY and SUN]

Dear Manoj,

Please check the appended link for better understanding of this aspect.

https://www.taxtmi.com/article/detailed?id=5801

Regards,

YAGAY and SUN

(Management and Indirect Tax Consultants)

Thanks. But I have taken cenvat credit in August 2014. It is permitted. Not.21/2014 cExcise from 1sept.2014

[Mahir S]

Manoj ji,

It appears from your query that u have availed cenvat credit in the month of August 2014 in respect of invoices which were issued eight months ago.

In this case, you have rightly availed cenvat credit; so don't get confused and nothing to worry,

[YAGAY and SUN]

Dear Manoj,

As rightly indicated by Mr. Naveed that since you have availed the CENVAT credit well before the date mentioned in the aforesaid notification, therefore, there is no need to worry, provided CENVAT credit should be availed as per the provisions of CENVAT credit Rules, 2004 as amended from time to time.

Regards

YAGAY and SUN

(Management and Indirect Tax Consultants)

[Srivatsan Krishnamachari]

Dear Mr.Pradeep Khatri, Sir in your earlier reply dated 13/09/2014 for this query you have asked the initiator of this "Issue" to go through the Article ID:5801, dated 28th August 2014 written by Learned Mr.Madhukar. N. Hiregange in which he has mentioned that as per the Notification No:21/14 CE(NT) dated 11/07/2014 which took effect from 01/09/2014,manufacturers and service providers would stand to loose eligible credit not availed up to 1st February as on 01/09/2014.

However in his response dated 29/08/2014 to that another Learned friend Mr.Naresh Kumar has stated that" as per his interpretation there is no bar on credit for bills raised prior to 1st September 2014 and since this new rule is made applicable from 01/09/2014 it shall be applicable only for bills raised from 01/09/2014. I will be much obliged if you can please give your valued view on this.

Regards,

K.Srivatsan

[Tejas Gandhi]

Our company doing process of Electric steel manufacturing unit and Raw material is Coil.

So can I take Cenvat credit on M S Angle , Channel , Plate , Beam . it is used in Plant .

So Kindly guide me whether credit availed or not ?

Thanks,

Tejas Gandhi

[YAGAY and SUN]

Dear Srivatsan Krishnamachari,

Different people, different interpretation. Let this issue must be sorted out by TRU/Department/Courts.

Regards

Pradeep Khatri

Founder - YAGAY and SUN

(Management and Indirect Tax Consultants)

[YAGAY and SUN]

Dear Tejas,

Central Excise: Availment of CENVAT credit on angles, beams, channels and TMT bars.

In this matter it is held that CENVAT credit taken on M.S.Angles, M.S.Beams, M.S.Channels and TMT bars by assessee for erection of new plant and machineries in their factory by treating the same as components are admissible in law. CCE Vs. India Cements Ltd. = 2014 (7) TMI 881 - MADRAS HIGH COURT

Please check the facts before availing the CENVAT credit and also follow the prescribed procedure/provisions as mentioned in the CCR,2004 as amended from time to time.

Regards

YAGAY and SUN

(Management and Indirect Tax Consultants)

 

AI Summary

Cenvat credit timing restriction limits late claims; transitional treatment preserves credits availed before rule's effective date.
A regulatory amendment imposed a six-month time limit for claiming CENVAT credit measured from the invoice or equivalent document date; the restriction applies from a notified future effective date, so credits availed before that effective date were treated as not barred provided claims otherwise comply with the CENVAT Credit Rules, 2004. The discussion records differing views on retrospective effect and recommends departmental or judicial clarification.