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Cenvat credit carry forward & credit

Queries 1647 views 1 replies

Sandeep

Self Employed

125 Points Joined November 2008

1. Can the Input Service Tax credit remaining unutilised at the end of a FY be carried over to new FY?
2. Does the unused credit have to be declared in the ST3 return filed?

Specifically, for various reasons I did not take into account the input service tax credits for FY 2008-09, now I want to account and carry forward those credits to FY 09-10. Can I do so?

Was it required to declare the unused credit in the ST3 filed in April 2009?

Replies (1)

Madhukar N Hiregange

Chartered Accountant

39039 Points Joined September 2008

There is no bar on availment of credit for inputs/ input services as long as they were eligible after a lapse of time. Therefore in my view you could carry forward the same in this year with an adequate disclosure. When questioned you should be able to prove that it was available earlier.