https://www.taxtmi.com/caselaws?id=234312 Proportionate reversal of CENVAT credit was not required merely because certain service charges were written off as bad debts. The input service credit had been validly taken for taxable output services, and non-realisation of receipts did not by itself show wrongful availment or utilisation of credit. Rule 14 of the CENVAT Credit Rules, 2004 applies only where credit is taken or utilised wrongly, or is erroneously refunded, and it does not create a separate obligation to reverse credit on failure to recover consideration. The absence of any one-to-one correlation between input services and individual receipts was accepted, so the demand, interest and penalties were not sustainable. en-us Mon, 04 Feb 2013 00:00:00 +0530 Sat, 26 Jul 2014 11:49:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=234312 Proportionate reversal of CENVAT credit was not required merely because certain service charges were written off as bad debts. The input service credit had been validly taken for taxable output services, and non-realisation of receipts did not by itself show wrongful availment or utilisation of credit. Rule 14 of the CENVAT Credit Rules, 2004 applies only where credit is taken or utilised wrongly, or is erroneously refunded, and it does not create a separate obligation to reverse credit on failure to recover consideration. The absence of any one-to-one correlation between input services and individual receipts was accepted, so the demand, interest and penalties were not sustainable. Case-Laws Service Tax Mon, 04 Feb 2013 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=234312