Dear Sir,
We are a mfg co, one of vendor has charged service tax on Transport and Octroi charges under Business Auxiliary Service Category whether it is correct. If yes please mention us any reference regarding such query and can we avail service tax credit of the same as a input service.Thanks and regards.
Inquiry on Service Tax Applicability for Transport and Octroi Under Business Auxiliary Service; Cenvat Credit Eligibility Clarified A manufacturing company inquired whether a vendor's charge of service tax on transport and octroi under the Business Auxiliary Service category is correct and if they can claim service tax credit as input service. A respondent indicated that while the category might be incorrect, they can claim Cenvat credit related to inward transportation. The original inquirer sought further clarification on the applicability of service tax on octroi charges. (AI Summary)