Service tax credit availment on consulting engineering service

[Asked by Guest]

Dear Sir, Can we avail service tax credit on consulting engineers service used for civil work .

[MUKUND THAKKAR]

yes you can... nexus with your output service..

[PAWAN KUMAR]

Dear Sir,

The cenvat can be claimed subject to nexus with manufacturing/service activity.

Dear Sir, if such service is used for construction of wall of that unit which is closed down and even then if such consulting engineer service is used for manfucturing activity for construction activity can we avail such service credit for the same, please explain thanks and regards

[Mahir S]

Sir,

W.r.t your clarification dated 10.01.15, the service tax credit does for consulting engineer service pertaining to civil work does not seem to be eligible.

[YAGAY and SUN]

Dear Sandesh,

It is settled legal position that CENVAT credit on Civil Work including consulting engineers service would not be allowed.

Regads,

Neelam Taneja - Executive Consultant

(YAGAY and SUN) - Management, Business and Indirect Tax Consultants

[DR.MARIAPPAN GOVINDARAJAN]

Is there any case law in this regard?

AI Summary

Service tax credit: consulting engineer services hinge on nexus with output, but civil construction credits are disputed.
Eligibility of service tax credit for consulting engineering services used in civil works depends on the nexus with the recipient's taxable output activity; some contributors say credit is allowable if connected to manufacturing or a taxable service, while others contend that credit on civil work and consulting engineer services for construction is not admissible.