17 April 2014
Hello all The assessee is a service provider involved in giving machines on hire. He had purchased machinery on which CENVAT input was taken on Excise duty paid and input was utilised against payment of Service tax as per law.
Now he has sold the machinery and proportionate CENVAT credit is to be reversed. We charged the amount in the bill and deposited the amount in cash through Challan to the govt. Now the issue is that there is no specific column in ST3 where we can show this amount. The only place where the reversal of CENVAT on capital goods is mentioned is in column I 3.1.3.5 but it takes amount only if there is CENVAT input in the current period, which in this case is NIL.
If we show the amount in Gross receipts column, it is technically wrong because no services were rendered and the returns will not match with P&L A/c for the year.
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