TaxTMI 
TaxTMI 
2021 (2) TMI 553
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....SG.L-II/2018/65, dated 30-4-2019 (hereinafter called as the "impugned order") passed by the Superintendent, Central Goods & Services Tax Range L-II, Kishangarh, Distt-Ajmer (hereinafter called as the "adjudicating authority"). 2. Brief facts of the case : 2.1 The appellant having GSTIN No. 08AAACR9701L1Z4 is engaged in supply of taxable service under the category of Goods Transport Agency Service, appeared to have wrongly availed the input tax credit of Rs. 2,32,334/- of Cenvat credit taken in GST TRAN-1 as ITC with regard to Input Service of GTA under RCM paid on 6-7-2017 under head 7(b) of TRAN-1 which was not shown in ST-3 return ending on June, 2017 in contravention of Section 140(1) of the CGST Act, 2017 read with Rule ....
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....7 along with interest payable under Section 50(3) of CGST/SGST Act, 2017 and also liable for penal action under Section 122(2) of the CGST Act, 2017. 4. The adjudicating authority, after considering the submission of the assessee, has passed the order as under :- (i) Disallowed the input tax credit amounting to Rs. 2,32,334/- (Rupees Two Lac Thirty Two Thousand Three Hundred Thirty Four only) and ordered it to be recovered in terms of provisions of Rule 14 of Cenvat Credit Rules, 2004 and Section 73(1) of Central Goods and Services Tax Act, 2017. The Cenvat credit has already been reversed by the assessee, the same is appropriated in the Govt. account. (ii) Ordered fo....
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.... provisions of law. • that issue is nowhere relating to wilful evasion of tax or wilful wrong availment of Cenvat credit. • that in both the disputes there is no debate or doubt about the availment of input services and payment of input service tax. There is no dispute about the category of input services and utilization of input services for the business purpose. • that in the light of the above facts and ingredients of the case it is argued that what is violated is procedural condition of the law and violation was unintentionally due to provisions being new, lack of knowledge and such lapses are ought to occur during the initial phase of new law. • that so far as provisions for invoking ....
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....the Service Tax paid by the appellant under RCM. Secondly, ITC of Rs. 61,518/- in respect of the services they booked in their books of accounts as on 30-6-2017 and 30-9-2017. 8. The relevant provisions of Section 140(1) of the CGST Act, 2017 and Section 140(5) of the CGST Act, 2017 are as under : (1) A registered person, other than a person opting to pay tax under section 10, shall be entitled to take, in his electronic credit ledger, the amount of CENVAT Credit of eligible duties carried forward in the return relating to the period ending with the day immediately preceding the appointed day, furnished by him under the existing law in such manner as may be prescribed : Provided that the registered person shal....
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....rants under Central Excise, Service Tax and VAT on migration to GST can carry forward the balance of Cenvat credit on inputs, capital goods and input services lying in the last return filed. In the instant case, the appellant has made the payment of Service Tax on 6-7-2017 but the credit has been taken on 30-6-2017 which is not in accordance with the existing law i.e. Cenvat Credit Rules, 2004. Since, the appellant was not entitled to avail the credit in the month of June, 2017 they were not having any Cenvat credit balance legally in their return before the appointed day, therefore, were not entitled to transfer the said credit in Table 5(a) of TRAN-1 as ITC and was not in accordance with the transitional provision of Section 141(1) of CGS....