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Time limit for carry forward of unutilised cenvat credit

CS Arjun Rajagopal (B.com, ACS) (1056 Points)

25 December 2015

What is the time limit for carry forward of unutilisted CENVAT Credit?

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12 Replies

Madhukar N Hiregange (Chartered Accountant) (39034 Points)
Replied 25 December 2015

There is no time limit for carry forward of credit.

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Rahul Sharma (Self employed) (183 Points)
Replied 25 December 2015

time limit shall be one year from the the date oof invoice. as per latest circulars and 6th ammendment in ccr rules.

Karthik.V.Kulkarni (Chartered Accountant) (594 Points)
Replied 25 December 2015

There is timec limit for taking cenvat. For utilisation no time limit. Agree with Hiregange sir

love sharma (student) (36 Points)
Replied 26 December 2015

Time limit fr utilisation :none Time limit for cenvat: 1 year ( accrdng to amendmnt ) whch was 6 mnths earlr..

Kamal (Artical Trainee) (23 Points)
Replied 27 December 2015

Time limit for claim of cenvat is one year but there is no any time limit for utilising the se

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MANGESH (CA Job) (31 Points)
Replied 27 December 2015

Hi Friends.

There is no time limit for utilization of cenvat credit.

recent amendmend is time limit for availing cenvat credit is 1 year for availment.

Ashok Bisht (student) (30 Points)
Replied 27 December 2015

Totally agree. Wef 01-03-2015 time limit for availment of cenvat credit is one year from the date of invoice. However for its utilisation there is no time limit . Refer to ammendment in third proviso to rule 4(1) of ccr, 2004, vide notification 6/2015-CE(NT) dated 01-03-2015

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Madhukar N Hiregange (Chartered Accountant) (39034 Points)
Replied 27 December 2015

Let us take a case where a manufacturer has not paid duty as he thinks that he is not liable due to interpretation. Dept. raises duty and finally concludes that he is liable from 2010-15.

Can he be denied credit for 10 -14 when the limitation was introdiuced? There is a principle in taxation that one cannot be worse off than if one opted for payment in 2010. If this is applicable to this situation manufacturer should be eleigible for credit for the past years is an argument one could take.

Look beyond the rule- maybe this needs tobe examined further but for the past, it may not be justified to apply. However from 2014 onwards the restruiction though not in the spirit fo the law ( dept demand money for 5 years) but limits credit to 1 would in my opinion be valid.

CS Arjun Rajagopal (B.com, ACS) (1056 Points)
Replied 02 January 2016

Thank you all experts for your reply. Arjun

Venkataramana Reddy Koduru (Senior Manager Finance & Accounts (Indirect Taxes)) (23 Points)
Replied 13 October 2016

Thank you all for giving valuble points

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shital mansukhlal jain (director) (28 Points)
Replied 26 October 2017

We have missed a cenvat credit of import material bill of exchange dated 3 may 2016,
We noticed the same today,
The amount is big, what is the provision to take credit of same.
We asked excise dept about it, one of them said u cannot claim cenvat of more than 1 year previous.

The other said, u can calim duty of previous one year from the date of Migration. So accordingly available.

But we are completely confused.
Can somebody help in this.