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AED credit in tran1

daxesh (Manager Finance & accounts) (195 Points)

06 June 2018

is that AED credit in ER1return can not be taken to CGST ledger in tran 1 filing??

our CGST officer denied carry forward of AED - ADDITIONAL EXCISE DUTY CLAIM IN TRAN1 RETURN. HE INFORMED TO CLAIM REFUND OF THE SAME FROM THE EXCISE DEPARTMENT ??

CAN ANYONE CLARIFY THE SAME??

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CMA Bhavya (Assistant Manager Finance) (862 Points)
Replied 06 June 2018

Dear Sir,

Sec.140 of CGST Act : Transitional arrangements for input tax credit.
(1) A registered person, other than a person opting to pay tax under section 10, shall be entitled to take, in his electronic credit ledger, the amount of CENVAT credit carried forward in the return relating to the period ending with the day immediately preceding the appointed day, furnished by him under the existing law in such manner as may be prescribed:
Provided that the registered person shall not be allowed to take credit in the following circumstances, namely:—
(i) where the said amount of credit is not admissible as input tax credit under this Act; or
(ii) where he has not furnished all the returns required under the existing law for the period of six months immediately preceding the appointed date; or
(iii) where the said amount of credit relates to goods manufactured and cleared under such exemption notifications as are notified by the Government.
(2) A registered person, other than a person opting to pay tax under section 10, shall be entitled to take, in his electronic credit ledger, credit of the unavailed CENVAT credit in respect of capital goods, not carried forward in a return, furnished under the existing law by him, for the period ending with the day immediately preceding the appointed day in such manner as may be prescribed:

Provided that the registered person shall not be allowed to take credit unless the said credit was admissible as CENVAT credit under the existing law and is also admissible as input tax credit under this Act.

regards,

Bhavya.P