cenvat on courier, transport charges

[sarat sahoo]

Sir

One commercial education institute availed cenvat credit on transportation, courier charges for taking study material for student. The cenvat credit taken as per rule or not by mentionig the tule / notification no.

AI Summary

CENVAT Credit Eligibility for Educational Institutes: Clarification on Rule 6(3) and Service Tax on Study Materials. A commercial educational institute sought clarification on availing CENVAT credit for transportation and courier charges related to study materials. It was noted that study materials are exempt from Service Tax under a rescinded notification, thus disallowing credit. However, services provided by commercial educational institutes are subject to Service Tax. One participant agreed that CENVAT credit is available for services related to the institution's service provision, but highlighted that Rule 6(3) of the CENVAT Credit Rules applies. The discussion emphasized the distinction between exempted goods and taxable services in determining CENVAT credit eligibility.