Utilization of credit of service tax

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Rahul (Querist)
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17 July 2015 hello sir i have some query regarding cenvat credit rule 2004 for rule 4(7) credit for input service. in case of partial RCM service receiver book 50% credit on GAR 7 basis. and 50% credit when will be book by SR? case-1:- if SR not paid bill amount to SP with in 3 month but paid total bill amount with in 6 month. case-2:- if SR paid bill amount to SP after 6 month. plz suggest me what is the treatment of cenvat credit. cenvat credit will laps if payment made to SP after 6 month. plz suggest me with give a example. thanks Rahul gupta rkgupta1988@gmail.com

Gaurav Sarda

Gaurav Sarda (Expert)
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17 July 2015 Case 1. Credit could be taken on the basis of the invoice, but if payment not made in three months then reverse the credit taken.

Case 2. Credit eligibility is after 6 months