Debit Note containing all the particulars specified in Rule 9(2) of the Credit Rules is a valid document for availing Cenvat credit

Debit Note containing all the particulars specified in Rule 9(2) of the Credit Rules is a valid document for availing Cenvat credit

Mahanagar Gas Ltd. Vs. Commissioner of Central Excise, Mumbai-II [2015-TIOL-1069-CESTAT-MUM]

In the instant case, Mahanagar Gas Ltd. (“the Appellant”) availed Cenvat credit on the strength of debit note issued by the service provider. The Department denied the Cenvat credit on the ground that debit note is not a prescribed document in terms of Rule 9(1) of the Credit Rules or Rule 4Aof the Service Tax Rules.

The Hon’ble CESTAT, Mumbai held that the debit note containing all the details as required under Rule 9(2) of the Credit Rules is at par with the documents prescribed under Rule 9(1) thereof. Therefore, it is valid documents for the purpose of taking Cenvat credit.