TaxTMI 
TaxTMI 
We raised bill for customer,by mistake,we charged excess rate, then our customer raised supllementary bill for passing excess cenvat charged, they did not issue D/note because, debit not is not perscribed document for availing cenvat uner Cenvat Credit Rule, 2004. Now, can,we availed cenvat credit on their suppementary bill,but i heared a customer can not raised supplementary bill he can issue only d/note. please reply to us.
Cenvat credit - Bill issued at excess rate
28 Aug 2006 
2 Replies 
1336 Views Asked by
Cenvat credit: supplier cannot neutralise recipient's availed credit by a supplementary bill; excess tax must be deposited.
Where a supplier bills at an excess rate and the recipient avails Cenvat credit on the excess amount, the supplier must deposit the excess tax collected to revenue; a supplementary bill or post-facto debit adjustment by the supplier does not automatically negate the recipient's availed credit, and proper documentary and statutory mechanisms are required for reversal. (AI Summary)
Where a supplier bills at an excess rate and the recipient avails Cenvat credit on the excess amount, the supplier must deposit the excess tax collected to revenue; a supplementary bill or post-facto debit adjustment by the supplier does not automatically negate the recipient's availed credit, and proper documentary and statutory mechanisms are required for reversal. (AI Summary)