Become Govt. Certified GST Practitioner in just 58 hrs. Register Now!

Cenvat credit (input credit)

rajesh (Accountant) (583 Points)

05 July 2011

Dear Sir

From 1st July 11 Service Tax paid on Billing Basis not a Receipt Basis and Cenvat Credit (Input Credit) is also Billing Basis or only Payment Basis.

Please tellme

Thanks in advance

Reply
Follow
Share

5 Replies

CA Unnikrishnan Nair N (Chartered Accountant) (2083 Points)
Replied 05 July 2011

Cenvat credit can be availed only after payment of bill .

1 Like

Upgrade to CAclubindia Pro. Subscribe Now!

Raghavendra (Accounts) (131 Points)
Replied 05 July 2011

Sir, can i get the notification for this.

Regards,

Ragahvendra M

Madhukar N Hiregange (Chartered Accountant) (39034 Points)
Replied 05 July 2011

The cenvat credit is also available on accrual basis. However if one were not to make payment of the same within 3 months then the credit needs tobe reversed.

The new POTR is accrual + receipt basis. If there is an advacne the same wouldbe liable.

Atul Parmar (Dy.Manager) (21 Points)
Replied 06 July 2011

I would like to know broadly how the input credit is to be aviled by headquarter and distributed amongst their manufacturing units for utilisation at their end while making Excise payment.

01.What type of records we required to maintan

02.What are the formats for Service tax input credit register and GTA credit avialment register

03.What is period in which we should distribute it and how

CA Vibhash Kumar Sah (Associate Manager) (710 Points)
Replied 07 July 2011

Originally posted by : Raghavendra
	Sir, can i get the notification for this. Regards, Ragahvendra M

Input Credit is available on Accrual basis subject to the condition that payment to Vendor should be made within 3 months. If payment is not made within 3 months the Input Credit taken will have to be reveresed and interest will be payable. Please go to FILE link, you will get the details of notification.