TaxTMI 
TaxTMI 
Dear Experts,
Whether we can take service tax credit of construction Rain water harvesting System ? We have book this expenses in our accounts Building Under Construction head. Please advice.
Thanks & Regards
service tax input credit on construction on Rain Water Harvesting System
11 Feb 2017 
8 Replies 
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Cenvat credit eligibility for rainwater harvesting: statutory requirement allows input service credit despite works-contract exclusions.
Availability of CENVAT input credit for construction of a rain water harvesting system depends on whether the service falls within the Cenvat Credit Rules' exclusions for construction and works contracts versus allowable input services; credit may be claimed where the work satisfies a statutory or licensing obligation or constitutes repair/modernisation or an allowable service rather than excluded construction. (AI Summary)
Availability of CENVAT input credit for construction of a rain water harvesting system depends on whether the service falls within the Cenvat Credit Rules' exclusions for construction and works contracts versus allowable input services; credit may be claimed where the work satisfies a statutory or licensing obligation or constitutes repair/modernisation or an allowable service rather than excluded construction. (AI Summary)