We are manufacturing unit registered under Excise and Service tax Act.
We had utilised restaurant services (Registered category is Restaurant Service and Other than in the negative list under composite scheme) towards Get-together for company staff. All expenses incurred are debited to our company account.Since the restaurant is registered under service tax, we decided to take service tax credit. After we received the invoice from the restaurant, we have noticed that they have issued a consolidated invoice with service tax, since they were registered under composite scheme and can not show service tax separately.
In view of the above please clarify following points.
1. what is the procedure of tax payment to service tax department by restaurant under composite scheme since they are recovering full rate of service tax @12.36% from us.i.e. whether they will be paying full amount to the department or not ?
2. Is there any way we can avail service tax credit under the above condition ?.
pl. advice.