cenvat credit reversal

[yateen vyas]

Sir,

if cenvat credit taken on an invoice in june due to mistake same is taken in December again so now what will provision and it is also utilized.now interest is payable or not ?

[DR.MARIAPPAN GOVINDARAJAN]

You are to reverse the excess credit taken and service tax to that extent along with interest is payable.

[Mahir S]

Yes sir, interest is payable for such cenvat credit wrongly availed twice and already availed/utilized.

An offence case may also be booked on detection by the department.

[yateen vyas]

i already have amount in remaining balance so will it come under utilized category or not.

[yateen vyas]

like amount of credit taken is 10,000 and remaining balance in part 2 is 2 Lac

[Mahir S]

Sir,

In your case, it will not fall under the utilization category. However, it is advisable to reverse the credit that was mistakenly availed in the month of December 2014.

[yateen vyas]

Thanks to all .

AI Summary

Mistakenly availed CENVAT credit twice? Reverse excess credit and pay interest to avoid potential offense case. A participant in a discussion forum raised a query about mistakenly availing CENVAT credit twice on the same invoice, once in June and again in December, and whether interest is payable on the utilized credit. Respondents advised that the excess credit should be reversed, and interest is indeed payable. One respondent noted that an offense case might be filed if detected by the department. The original poster clarified that they have a remaining balance, questioning if it falls under the utilized category, and was advised to reverse the mistakenly availed credit.