The unutilised Education Cess and Secondary and Higher Education Cess in the hands of the appellant had become dead CENVAT Credit claim in the year 2015 itself with these levies dropped by the Finance Act 2015 and therefore, there is no question of it being claimed as a right to be carried forward after 01.07.2017.
Section 140 of the CGST Act, 2017 — Transitional Credit — The appellant has transferred Education Cess and Secondary Higher Education Cess Credit lying with them at the end of June-2017 to TRAN-1, which according to respondent is not correct as per Transitional provisions. The appellant also have irregularly carried forward of ITC of Rs. 1,21,395/-. A SCN was issued which was adjudicated by the adjudicating authority, confirming the demand. Being aggrieved with the impugned order dated 23.03.2021, the appellant has filed the appeal on 01.12.2020. The authority observed that the unutilised Education Cess and Secondary and Higher Education Cess in the hands of the appellant had become dead CENVAT Credit claim in the year 2015 itself with these levies dropped by the Finance Act 2015 and therefore, there is no question of it being claimed as a right to be carried forward after 01.07.2017. Further, as per Explanation 3 of Section 140 , it is clear that the transition the CENVAT Credit pertaining to cesses is not allowed.
Held that:- The Hon’ble authority rejected the appeal.
The unutilised Education Cess and Secondary and Higher Education Cess in the hands of the appellant had become dead CENVAT Credit claim in the year 2015 itself with these levies dropped by the Finance Act 2015 and therefore, there is no question of it being claimed as a right to be carried forward after 01.07.2017.
Section 140 of the CGST Act, 2017 — Transitional Credit — The appellant has transferred Education Cess and Secondary Higher Education Cess Credit lying with them at the end of June-2017 to TRAN-1, which according to respondent is not correct as per Transitional provisions. The appellant also have irregularly carried forward of ITC of Rs. 1,21,395/-. A SCN was issued which was adjudicated by the adjudicating authority, confirming the demand. Being aggrieved with the impugned order dated 23.03.2021, the appellant has filed the appeal on 01.12.2020. The authority observed that the unutilised Education Cess and Secondary and Higher Education Cess in the hands of the appellant had become dead CENVAT Credit claim in the year 2015 itself with these levies dropped by the Finance Act 2015 and therefore, there is no question of it being claimed as a right to be carried forward after 01.07.2017. Further, as per Explanation 3 of Section 140 , it is clear that the transition the CENVAT Credit pertaining to cesses is not allowed.
Held that:- The Hon’ble authority rejected the appeal.