services used - for setting up of a factory - elgibile for cenvat credit

[rao rao]

construction/infrastructure services services done in 2010 which are used for setting up a factory are eligible for credit in 2011 or otherwise

[KASTURI SETHI]

The words, "setting up a factory" was omitted w.e.f. 1.4.2011 vide Notification No.3/11-CE (NT) dated 1.3.11. Hence it time barred now. Not admissible at this stage.

[Mahir S]

Sir,

for the period prior to 01.03.2011, input service credit was available for credit pertaining to setting up of a factory.

AI Summary

CENVAT Credit Eligibility for Factory Setup: Credit Inadmissible Post-April 2011, Valid for Pre-March 2011 Services. A query was raised about the eligibility of CENVAT credit for construction and infrastructure services used in setting up a factory in 2010. The discussion included two responses. One response indicated that due to the omission of the term 'setting up a factory' effective from April 1, 2011, via Notification No. 3/11-CE (NT), claiming credit is now time-barred and inadmissible. Another response clarified that input service credit was available for the period before March 1, 2011, for services related to setting up a factory.