TaxTMI 
TaxTMI 
Dear Sir,
We are a tour operator, providing Inbound services to Foreign tourist, My query is on CENVAT credit notification came on October 2014, who is eligible to get the CENVAT credit.
Kind Regards,
Anil Garg
CENVAT credit on input services for Tour Operator
02 Feb 2017 
5 Replies 
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CENVAT credit on input services clarified for tour operators, aligning abatement treatment with credit availability for specified inputs.
CENVAT credit availability for tour operators hinges on creditability of input services and the interplay with abatement rules: an amendment allowed credit on input services other than the tour operator's own input service, creating potential excess accumulation of credit for supplies like hotel accommodation and rent a cab because abatements reduced effective tax on the taxable service; regulatory limits were applied to specified input services and restrictions on inputs and capital goods remained where credit was already taken under the CENVAT Credit Rules, and later rationalisation of the abatement framework broadened input service credit where CENVAT Rules conditions are met. (AI Summary)
CENVAT credit availability for tour operators hinges on creditability of input services and the interplay with abatement rules: an amendment allowed credit on input services other than the tour operator's own input service, creating potential excess accumulation of credit for supplies like hotel accommodation and rent a cab because abatements reduced effective tax on the taxable service; regulatory limits were applied to specified input services and restrictions on inputs and capital goods remained where credit was already taken under the CENVAT Credit Rules, and later rationalisation of the abatement framework broadened input service credit where CENVAT Rules conditions are met. (AI Summary)