Service Tax Credit Received on Resort Bill

[Ramesh M]

Dear Experts, 

We are manufacture of Engineering Goods, recently we conducted yearly operation meeting in a resort to discuss Manufacturing strategy and set targets.  We received Bill from Resort and they charged service tax. Can we take credit ??

Ramesh M

AI Summary

CENVAT credit on resort services: nexus to manufacturing is required, so claiming credit is legally precarious without clear nexus.
Whether service tax charged by a resort for a corporate operations meeting qualifies as CENVAT credit depends on whether the resort services meet the input service definition under the CENVAT Credit Rules, 2004; amendments removing qualifying language have made proving a direct nexus to manufacturing activities difficult, so claiming such credit is legally precarious and not recommended without clear evidence of nexus or a formal advisory opinion.