Time limt for Cenvat credit under RCM

[Prudhvi Jakkula]

Dear experts,

Please solve my query.

Is it possible to claim credit of tax paid under RCM on input services received after one year of invoice date but immediately in the subsequent return after payment?

Please solve my query

[Ganeshan Kalyani]

Yes, whenever there is difference of opinion the court will clarify the doubts.

[SANJAY JAIN]

Dear All,

In my view, the 18(2) restriction of one year is applicable only for specific case as mentioned in section 18(1) and it is not general restriction. We have to follow the time limit of 16(4) for regular transactions.

Thanks and Regards,

Sanjay Jain

AI Summary

Time limit for input tax credit under reverse charge may bar delayed claims; timing hinges on invoice, self invoice, or challan.
The one year temporal restriction on availing input/service tax credit applies to recipients paying tax under the reverse charge mechanism because the recipient is deemed a provider; taking credit under RCM therefore requires compliance with standard documentary conditions (supplier invoice, self invoice where applicable, and challan evidencing cash deposit). A dispute exists whether the limitation period runs from the supplier's invoice or from the challan/self invoice date; point of taxation rules and tribunal authority supporting self invoice are invoked, but the matter is unsettled and may need judicial determination.