Cenvat credit

Hello Vinay,

Please clarify the department order of reversal in ration of Rs.20

Hello Saurabh,

It an audit. They have completed the audit and saying to reverse the cenvat on basis of Rs. 20 as you have shown cenvat availed as Rs. 20 only.

But, you have reversed Rs 80, reversal can be made on as per Rule 6 of CCR as per following:

1. If you maintain seperate books of account for exempted and taxable services, reverse for exempted.

2. if not then you have to make proporionate reversal as per various method prescibed , on e of them is reversal of 6% of value of exempted service sprovided

I haven't shown the reversal in return. Return only shows availed Rs 20. and Utilised Rs. 20.

Do you maintain seperate books of accounts for exempted and taxable

Means in excel you have a clear indication of taxable and no taxable value