SECTION 167. AMOUNT OF CENVAT CREDIT CARRIED FORWARD IN A RETURN TO BE ALLOWED AS INPUT TAX CREDIT
By: – Pradeep Jain
Goods and Services Tax – GST
Dated:- 28-12-2016
GST DAILY DOSE OF UPDATION BY CA PRADEEP JAIN
TRANSITIONAL PROVISIONS-PART-I
SECTION 167. AMOUNT OF CENVAT CREDIT CARRIED FORWARD IN A RETURN TO BE ALLOWED AS INPUT TAX CREDIT
The following provisions have been incorporated under CGST Laws:-
A registered taxable person, other than a person opting to pay tax under section 9, 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 earlier
= = = = = = = =
Plain text (Extract) only
For full text:-Visit the Source
= = = = = = = =
ry forward of credit pertaining to return filed under earlier law was expected to be denied in GST regime.
As regards the proviso is concerned, the same is a better version of the earlier proviso in old GST Law. As per old proviso, it was specified that credit will be available only if the credit was admissible both under earlier law and under the GST law. This provision was very difficult to comply as there are different provisions under present laws and GST laws. As far as credit availment in present scenario is concerned, the same is governed by Cenvat Credit Rules, 2004 whereas credit under GST regime is governed by section 16 of the GST Act, 2016 and there are significant differences. For example, under Cenvat Credit Rules, 2004, the
= = = = = = = =
Plain text (Extract) only
For full text:-Visit the Source
= = = = = = = =
Laws and so whether credit of entry tax will be available in all States or only in States where it is cenvatable. This is for the reason that the proviso merely states that registered taxable person shall not be allowed to take credit unless the said amount is admissible as input tax credit under this Act. Under GST regime, all taxes are cenvatable and one opinion may be that credit of entry tax will be allowed even if the same was not allowed under earlier law. However, the revenue authorities will not accept such an interpretation and will definitely dispute credit of entry tax if the earlier State Laws denied it.
New provisos have been added regarding credit under section 3, 5(3), 6 or 6A of the Central Sales Tax Act, 1956. It is provi
= = = = = = = =
Plain text (Extract) only
For full text:-Visit the Source
= = = = = = = =