Services provided against Focus Product Duty Scrip

[Parashiva Murthy]

If Services are provided to client using Focus Product Duty Scrip without charging Service tax vide Notification No.07/2013-ST. Will the same qualify as Exempted Services under Cenvat Credit Rules and If yes, whether Rule 6 be applicable for reversal of credits.

AI Summary

Consulting Firm's Services Not Exempt Under Cenvat Credit Rules; Rule 6 Applies for Credit Reversal A query was raised by a private consulting firm regarding the provision of services using Focus Product Duty Scrip without charging service tax, referencing Notification No.07/2013-ST. The question concerned whether such services qualify as exempted under the Cenvat Credit Rules and if Rule 6 applies for credit reversal. The response clarified that the service tax debited in the scrip is available as Cenvat credit or drawback, and these services are not considered exempted.