Cenvat credit ineligible for beyond year

[Kalmesh Siddatagimath]

Sir,

The appellant is Head Post Office, Central Govt Department were holder of Service Tax Registration on 3rd July, 2015,for rendering Courier Agency services, Insurance Auxiliary Life Insurance Services. The appellant records were audited by the Officer of the Central Excise Audit Commissionerate

During the course of audit of ST-3 Return and verification of cenvat documents, it is noticed that input service tax credit amount pertaining to the period beyond year i.e from July -2012 to June 2014 has been availed and utilised

Audit Commissioner, therefore ineligible input service credit amount needs to be recovered from the Postal depart along with interest and penalty

Please you advise me cenvat credit eligible in the above said case. If any recent judgments or order regarding Cenvat credit suitable to my case

Thanking you

AI Summary

Central Govt Dept Must Reverse Ineligible Input Service Tax Credits from 2012-2014 with Interest and Penalties The Head Post Office, a Central Government Department, was audited by the Central Excise Audit Commissionerate, which found that input service tax credit was availed for the period from July 2012 to June 2014, beyond the eligible timeframe. The audit concluded that this credit should be recovered with interest and penalties. Responses in the forum highlighted that Courier Agency Service was not excluded from input service definitions during that period, but emphasized the necessity of proving a nexus between input and output services. It was agreed that credits availed beyond the limitation period should be reversed and repaid with interest.