1.
Sir,
Garden creates better atmosphere and environment which increases working efficiency. Therefore it is an eligible input service and service tax paid thereon is eligible for taking credit. There are many decisions of CESTAT for and against availing such credit. However I do not come across any circular issued by CBEC in this regard.
According to rule 2 (l) of CENVAT Credit Rules, 2004 (l) “input service” means any service, -
(i) used by a provider of output service for providing an output service; or
(ii) used by a manufacturer, whether directly or indirectly, in or in relation to the manufacture of final products and clearance of final products upto the place of removal. However before taking the credit you seek the advice of your Range Officer or inform him that you are taking credit of service tax paid on gardening service provided by your contractor.
Another interpretation is that you can avail the credit treating it as man power supply service provided by your contractor and the Department cannot have any objection. You need not tell that the man power is for maintenance of the garden.