Menu
Cenvat credit admissibility
A company is formed for development , construction and formation of gas terminal .Currently company is pre operation stage so all the expenditure mainly incurred towards Legal & professional fee for carrying out various studies .
company has accumulated service tax amount, paid on professional fee .I just want to know can company claim Cenvat Credit of service tax amount paid on input service because company is pre- operation stage. Production will start in 5 year .
Accumulated Cenvat credit amount can be claimed or booked as a capitalized expenses?
Replies (2)
As per decision of Guj. HC in Cadila Healthcare expenses directly relating to manufacture before pre-operation stage can be taken.However, Cenvat credit is admissible only within 1 year from the date of invoice.
You can avail CENVAT CREDIT right now (within one year of issued of invoice) and utilise whenever you want . There is no time limit for utilisation of CENVAT Credit.
Recent Threads
- Paying Rent in Cash: This Could Trigger an Income
- Market Down, Portfolio Down: Need suggestions for
- How much tax is payable If I withdraw my mutual fu
- GST Penalty Provisions under Section 73 vs Section
- How VFA Academy Helps Traders Build Discipline and
- GSTR-3B Relationship
- Section 194T: TDS on Payments to Partners: Applica
- Tax planning with HUF
- FCN ( Financial Credit Notes) Treatement in Books
- Indemnity bond notarization for Income Tax (NRI ou
Related Threads
CAclubindia
