reversal of cenvat credit or ITC

[Bibhu Tripathy]

Dear experts,

kindly give solutions to the following queries

1. what is the time limit for reversal of cenvat credit for the period for April 17 to June 17 under Rule 6 of the Cenvat Credit Rules 2004

2. Is there any interest to be paid for the reversals made under the amended rule 42 of CGST Act 2017.

3. is there any extension of time limit for 2017-18 for reversals of rule 42

Thanking in advance

[KASTURI SETHI]

Sh.Bibhu Tripathy Ji,

Query-wise reply is as under :-

1. Mentioned in Explanation II, III, IV below (3D) in Rule 6 of Cenvat Credit Rules, 2004.

2. Yes interest is to be paid.

3. No extension of time limit. The Supreme Court's orders do not touch such time limitation prescribed in Rule 42 of CGST Rules.

AI Summary

Reversal of cenvat credit: prescribed time limits apply and interest is payable; no extension for reversals. The applicable time limit for reversal of Cenvat credit for the April-June 2017 period is governed by the explanatory clauses within the Cenvat Credit Rules (Explanation II, III and IV). Reversals under the amended CGST framework attract interest. No extension of the statutory time limit for 2017-18 reversals is recognised, and the referenced judicial orders do not affect the prescribed time limitation under the CGST Rules.