Input service tax credit - Change in Cenvat Credit Rules

[Guest]

service rules 2002 says input credit can be claimed for invoices issued on or after 14 May,03 and  Cenvat Credit Rule, 2004 say that it can be claimed if invoices issued on or after 10 sep,04 so whts the use of this. As when 2004 rules come in til that time earlier one wil be valid.so whts the intention or reason for change of this date

[Ravi Chopra]

The dates mentioned in the respective rules are showing the effective date. For the bills generated or issued before the cut off date, credit is available under the old rules (except in special circumstances)

AI Summary

Effective date determines applicable input tax credit rules; invoices before cutoff remain governed by the prior regime. Claiming input service tax credit is determined by the effective date specified in the relevant rule: each rule's cut-off date dictates which regime applies to an invoice. Invoices issued before the later rule's cut-off continue to qualify for credit under the earlier rule, except in specified special circumstances; the differing dates therefore reflect transitional application rather than an automatic loss of credit for pre-cutoff invoices.