Availment of Cenvat credit after transfer

[DR.MARIAPPAN GOVINDARAJAN]

THIS IS WITH REFERENCE TO THE SUBMISSION OF SHRI ANIL BAHI. THE UNITS HAVING SERVICE TAX REGISTRATIONS ARE MERGED AS FOUR CENTRALISED UNITS THEY CAN TRANSFER THE CREDIT AND CAN AVAIL THE CENVAT CREDIT.

[Surender Gupta]

Yes, I agree with Mr. Govindrajan's view that new unit after merger can utilize the closing balance of cenvat credit of the merging units after transferring the same as per rule 10 of Cenvat Credit Rules, 2004.

[SUBHASH AGARWAL]

Whether the Company is required to file pending forms before proceeding for Exit Scheme

AI Summary

Cenvat credit transfer: merged service tax units can transfer and utilise closing credit balance under applicable rules.
When multiple service tax registered units are merged into centralised units, the transferee may receive and utilise the closing balance of Cenvat credit from the merging units by effecting the transfer under Rule 10 of the Cenvat Credit Rules, 2004; pending statutory form filings were also queried as a related compliance issue.