UTILIZATION OF CENVAT CREIT OF ST AND ED BEYOND 6 MONTHS AND 1 YEAR

[Asked by Guest]

DEAR SIR ,

PLZ GUIDE ME WHETHER WE CAN AVAIL CENVAT CREDIT OF EXCISE DUTY AND SERVICE TAX BETWEEN PERIOD DATED 1-SEP-14 TILL 31-MARCH -15 OF INVOICES WHOSE DATE IS MORE THAN 6 MONTHS OLD .AND FROM 1-4-15 WHOSE INVOICE DATE IS MORE THAN A YEAR OLD .

PRATHIT MAINI

AI Summary

Cenvat credit time limit extended; credit must be taken within the limit, utilization unrestricted, cess credit subject to cessation dates.
The time limit for taking Cenvat credit changed so that invoices dated on or after 1 March 2015 may be taken within one year of the invoice date, while earlier invoices remained subject to the prior six month rule; this limit applies to taking (reflecting) credit in returns, not to its subsequent utilisation. Cess credit is constrained by the cessation of cess liability-credit on inputs/input services received before the relevant cessation date may not be utilisable for output where cess no longer applies, though credits received after the notified date may be eligible and unutilised amounts properly reflected can be carried forward.