Input Service Distribution in case of single unit

[Mehul Pandya]

Sir,

We have single unit in India and some Service Tax billing done at our head office like Financial Services, Audit Fess Etc. and payment done from our head office. In this case do our head office need to get Input Service Distributor Registration even though we have only one unit in the country. Can we as manufacturer may avail cenvat credit by simply endorsement done by our head office on the respective Invoice / Bill ?

Thank you

AI Summary

Input Service Distributor registration advisable where head office invoicing is used to secure cenvat credit and avoid disputes.
Whether a single-unit assessee must register as an Input Service Distributor when services are invoiced to the head office: some practitioners advise mandatory ISD registration to enable issuance of distribution invoices and to avoid audit objections, while reported tribunal decisions permit cenvat credit at the factory despite head office invoicing; therefore voluntary ISD registration is recommended to secure credit distribution and reduce litigation risk.