Cenvat Credit on Hospital Expeneses is eligible ???

[abbas mukhi]

Sir,

Whether expenses related to Hospital maintained by employer exclusively for benefit of employees are eligible for CENVAT CREDIT.

As the exclusion clause of 'input service' has excluded health care related expenses incurred for employees.

Thanks...

AI Summary

CENVAT Credit Denied for Employer-Provided Hospital Expenses Under Exclusion Clause in Definition of Input Service. A query was raised regarding the eligibility of CENVAT credit for expenses related to a hospital maintained by an employer exclusively for the benefit of employees. The issue stems from the exclusion clause in the 'input service' definition, which excludes healthcare-related expenses incurred for employees. Two responses confirmed that CENVAT credit is not available for such expenses, citing specific denial in the CENVAT Credit Rules, 2004.