TaxTMI 
TaxTMI 
Example: A is owner of vessel. B is freight forwarder and C is Importer.
'A' bill raised to B with Service Tax @ 4.50% and B bill raised to C with Service Tax @ 4.50%.
So B are utilized Service Tax Credit or not???
Input credit on Import Freight by Vessel
08 Aug 2016 
1 Reply 
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Input tax credit on import freight can be claimed by an intermediary freight forwarder when tax is levied upstream.
Where a vessel owner charges freight to a freight forwarder and service tax is levied, and the freight forwarder bills the importer with service tax, the freight forwarder may utilise the input tax credit of the tax paid to the vessel owner and set it off against the tax charged to the importer. (AI Summary)
Where a vessel owner charges freight to a freight forwarder and service tax is levied, and the freight forwarder bills the importer with service tax, the freight forwarder may utilise the input tax credit of the tax paid to the vessel owner and set it off against the tax charged to the importer. (AI Summary)
