TaxTMI 
TaxTMI 
TaxTMI 
In a recent case law Apollo Tyres vs Commissioner of C.Ex. and St., Vadodara-II [2015 (2) TMI 976 - CESTAT AHMEDABAD] it was held that service tax paid on rent-a-cab services used for transporting of officials and guests to and from the factory premises is allowed as CENVAT credit. It was further relied that these services are in relation to business and hence CENVAT is available.
The law speaks differently for Input services and the definition of Input service specifically excludes services provided by way of renting of a motor vehicle, in so far as they relate to a motor vehicle which is not a capital goods. Once the service is not input service, CENVAT credit of service tax paid on such service is not available.
This is just an information for your reference. It does not constitute our professional advice or recommendation of firm.
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