CENVAT TAKEN TO BE REVERSED ON INSURANCE CLAIM

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..... Dear Experts, A company's Raw Materials got damaged/lost due to fire accident in August, during GST regime. The materials purchased prior to July and Cenvat availed got fired and totally lost. Now, they are about to get insurance claim and insurance company insisting to reverse the input duty (Cenvat) availed for the materials which got fired and lost totally. What amount they have to .....

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..... reverse ? Availed 12 % Excise Duty amount (or) 18% GST amount which being the present Tax structure for the said commodity lost. How, the duty can be reversed in GST. The only one way to reverse ITC if required balance is there in Electronic Credit Ledger (or) pay cash vide challan and put one entry in GSTR-3B . I think there is no clear explanation for such of this issues. Insurance company .....

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..... will give the exact amount of Tax 12 % or 18% the amount debited and proof given. But, the affected company has to buy Raw Materials only at 18% GST. Please guide...... - Reply By Rajagopalan Ranganathan - The Reply = Sir, If the raw materials are destroyed by fire before using them in the manufacture of dutiable final products you have to reverse the credit taken. the amount to be revers .....

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..... ed is the credit availed at the time of receipt of the raw material. Date of reversal of the credit do not have any effect on the amount to be reversed. - CENVAT TAKEN TO BE REVERSED ON INSURANCE CLAIM - Query Started By: - SAFETAB LIFESCIENCE Dated:- 31-3-2018 Goods and Services Tax - GST - Got 1 Reply - GST - Discussion Forum - Knowledge Sharing, reply post by an expert, personal opinion Ta .....

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..... x Management India - taxmanagementindia - taxmanagement - taxmanagementindia.com - TMI - TaxTMI - TMITax .....

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