Question5:

As per the Notification No. 30/2004 CE Dated 9-7-2004 as amended, we were eligible for credit of capital goods received and installed under our factory. Further the capital goods possessed by us were not exclusively used in manufacture of  Exempted goods or Services. As per the earst while CCR, 2004  , Rule 4 deals with the conditions for allowing credit. As per our belief and knowledge we understand that the one year time limit is only prescribed for availing Cenvat Credit in cases of Inputs and Inputs Services but not for Capital Goods (Refer Rule 2(a) of Rule 4 of CCR, 2004) . If the earst While does not bar credit of capital goods for the invoices older than one year , hence we understand that the credit  of Capital goods  eligible . We request you to revisit the query to this context  and clarify.

Query No. 2  : We request you to kindly refer Circular No. 2 /2017 GST dated 18-9-2017 & 3 /2017 GST dated 21-9-2017 , we are of the view that the same can be amended. However your expert opinion  is important for us.

Answer:

Textile manufacturers under the repealed law were not eligible to avail credit on capital goods and credit which was shown as balance in the ER-1 Return as balance only could be carried forward to GST regime. There is no other way to carry forward credit of old regime.   

Query No. 2: You are right. The Government vide Notification No. 34/2017-CT dated 15.09.2017 has introduced Rule 120A in the CGST Rules, 2017 vide which TRAN-1 already filed can be amended once only. Accordingly, if you have already filed the said return and want to amend the same you can do so now. (Reply dt. 05/10/2017)