CENVAT CREDIT

[Trilok Saini]

THAT MY CENVAT CREDIT IS OF 2016 F.Y BUT I HAVE PAID THE ENTIRE SERVICE TAX IN 2018 AND THE DEPARTMENT DECLINE TO TAKE CREDIT OF IT,

THAT THEY CLAIMING THAT CREDIT ONLY ALLOWED WITHIN 1 YEAR,

KINDLY SUGGEST THAT WHAT TO BE DONE FOR THE SAME ..

TRILOK

[Himansu Sekhar]

Department is correct on the ground that the credit cannot be availed after one year.

[KASTURI SETHI]

Sh.Himansu Sekhar an expert is right.

[DR.MARIAPPAN GOVINDARAJAN]

CENVAT credit should be availed within one year of the date of invoice. Otherwise it would be lapsed.

[Ganeshan Kalyani]

Yes, there was a condition that input tax credit should be taken within a year.

AI Summary

Cenvat credit timing limits bar late claims; failure to claim within the prescribed period results in forfeiture.
The operative legal effect is that availment of CENVAT credit is subject to a time limitation measured from the invoice date; failure to exercise the entitlement within that period results in lapse or forfeiture of the credit and the department may decline belated claims.