Swachh Bharat Cecc .50 % input credit shoud be elligible

[Asked by Guest]

Dear Sir,

As per notification 22/2015 dated-06-11-2015 swath Bharat Cess .5 % would be applicable for all services.

But not clarify regarding the input credit whether this cess is eligible for input credit or not.

My question is that this cess is applicable in case of RCM also ?

If we paid in under RCM is it eligible for input credit or not ?

Is there any special Accounting code for payment this cess to CBES ?

Regards

Swapneswar

AI Summary

Input tax credit eligibility for Swachh Bharat cess remains barred; payment must be made in cash unless rules are amended.
The central legal point is whether Swachh Bharat Cess qualifies for Cenvat credit. SBC was levied on services and under reverse charge but was not added to the duties enumerated in the Cenvat Credit Rules; CBEC FAQs state credit is not available and SBC must be paid in cash. Commentators debated judicial reliance and provisional protest filings to preserve claims, while others advised awaiting departmental amendment or clarification. Notifications adjusted levy and reverse charge application but did not alter creditability.