9911796707
TMI BlogRefund of Cenvat Credit for Services taxed under Reverse Charge (Rule 5B) – Part 2X X X X Extracts X X X X X X X X Extracts X X X X ..... Refund of Cenvat Credit for Services taxed under Reverse Charge (Rule 5B) – Part 2 X X X X Extracts X X X X X X X X Extracts X X X X ..... ll be 30th June, 2014. No refund shall be admissible for the Cenvat credit taken on inputs or input services received prior to 1st July 2012. Thus, refund claims for different periods can be filed as under: Period Due date of return Latest by Prior to 1st July 2012 - No refund 1st July 2012 to 30th September 2012 30th April 2013 30th June, 2014 October 2012 to March 2013 10th September 2013 25th April, 2014 April 2013 to September 2013 25th October 2013 25th October, 2014 October 2013 to March 2014 25th April 2014 25th April, 2015 For this purpose, assessees should note that following conditions must also be complied with - * Only one refund claim should be submitted and assessee shall not submit more than one claim fo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r every half year under this notification / rule 5B. * Filing of return is compulsory and refund shall be filed after filing Service Tax return. If no return is filed, no refund claim is allowed and if filed, may be rejected. * Half year would mean a period of six consecutive months with first half year beginning from 1st April every year and second half year beginning from 1st October every year. * If more than one return is required to be filed for any half year, the time limit of one year shall be ascertained from due date of filling of return for later period. Thus, where, say, two quarterly returns are required to be filed in any half year, one year shall be computed from end of due date of filing second quarter return. * Refun ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d claim should be accompanied by copy of respective half yearly return for which refund is being claimed. Refund Amount Computation For claiming refund under rule 5B of the Cenvat Credit Rules, 2004, amount shall be computed as under: Unutilised CENVAT credit taken on inputs and input services during the half year for providing partial reverse charge services = (A) - (B) Where, A = CENVAT credit taken on inputs and input services during the half year (*) turnover of output service under partial reverse charge during the half year total turnover of goods and services during the half year B = Service tax paid by the service provider for such partial reverse charge services during the half year; The refund amount shall be su ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... bject to following further conditions: * the refund of unutilised Cenvat credit shall not exceed an amount of service tax liability paid or payable by the recipient of service with respect to the partial reverse charge services provided during the period of half year for which refund is claimed; * the amount claimed as refund shall be debited by the claimant from his Cenvat credit account at the time of making the claim; * in case the amount of refund sanctioned is less than the amount of refund claimed, then the claimant may take back the credit of the difference between the amount claimed and the amount sanctioned; Application for Refund The notification prescribes 'Form-A' for application for refund of Cenvat credit under Rule 5 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... B of Cenvat credit rules which is to be filed for each half year separately. It will contain particulars of output services provided and Service Tax liability of the service provider and the service recipient during the relevant period - * Description of service * Value of output services provided during the half year * Total Service tax liability during the half year * Service tax liability discharged by the provider of output service during the half year * Service tax liability of the receiver of such output service during the half-year [Column( iii)-Column (iv)] It will also contain following particulars of the amount eligible for refund at the end of each half year - * Service tax liability of the receiver of such output se ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rvice during the half-year (total of column 5 of above table) * Amount of unutilised Cenvat Credit taken on inputs or input services during the half year for providing services taxable under partial reverse charge [as calculated in para 1(a) of the notification]. * The eligible refund amount (minimum of column (ii) and (iii) 'Form-A' will also contain particulars of bank account where in refund amount may be credited and a declaration to the effect that - * Particulars are correct * Satisfaction of all conditions as contained in Rule 5B and notification * Being rightful claimants of refund under rule 5B * Being authorized person to file refund claim on behalf of assessee * No other refund claim having been or to be fi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... led under rule 5B for same half year. Action on Application The Assistant Commissioner or Deputy Commissioner to whom the application for refund is made may call for any document in case he has reason to believe that information provided in the refund claim is incorrect or insufficient and further enquiry needs to be caused before the sanction of refund claim. At the time of sanctioning the refund claim, the Assistant Commissioner or Deputy Commissioner shall satisfy himself or herself in respect of the correctness of the refund claim and that the refund claim is complete in every respect. After due verification and scrutinizing with records, refund shall be sanctioned and released. The refund claim may also be sanctioned partly and bala ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nce rejected. X X X X Extracts X X X X X X X X Extracts X X X X
|
