We have utilized the cenvat credit of input services paid. This cenvat is pertaining to April to September of 2012 i.e. 1st and 2nd Qtr of 2012-13. We have used this credit to payoff the excise duty payable by us. This utilization was shown in ER-2 return for April 2013 i.e. in Q1 of 2013-14.
My doubt is where should I show this utilization in ST-3 service tax return. Should I show it in ST-3 of Q2 of 2012-13 or in Q1 of 2013-14 i.e. in sync with ER-2?
"My doubt is where should I show this utilization in ST-3 service tax return. Should I show it in ST-3 of Q2 of 2012-13 or in Q1 of 2013-14 i.e. in sync with ER-2?"
19 July 2024
In your case, where you utilized the CENVAT credit of input services paid during April to September 2012 (Q1 and Q2 of 2012-13) to pay off excise duty in April 2013 (Q1 of 2013-14), here's how you should reflect this in your ST-3 service tax return:
1. **Period of Utilization**: Since the utilization of CENVAT credit to pay excise duty was in April 2013, which falls in Q1 of 2013-14, you should report this utilization in the ST-3 return for Q1 of 2013-14.
2. **ST-3 Return Filing**: In the ST-3 return for Q1 of 2013-14, you should mention the details of CENVAT credit utilized for payment of excise duty. This should include the details such as the amount of credit utilized, the input services against which the credit was availed originally, and any other relevant information required by the return.
3. **Sync with ER-2 Return**: ER-2 return is specific to excise duty and reports the utilization of CENVAT credit against excise duty liabilities. ST-3 return, on the other hand, is for reporting service tax liabilities and credits. The utilization of CENVAT credit to pay excise duty, as shown in ER-2 for April 2013, should also be reflected in the corresponding ST-3 return (Q1 of 2013-14).
4. **Cross-Verification**: Ensure that the figures reported in both ER-2 and ST-3 are consistent and match up correctly. This will help in avoiding discrepancies and facilitate smooth compliance with both excise duty and service tax regulations.
Therefore, summarize the utilization of CENVAT credit in your ST-3 return for Q1 of 2013-14, aligning it with the period when the credit was actually used to pay off the excise duty liabilities. This approach ensures proper accounting and compliance with service tax regulations.
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