On Hotel Bills shall we consider Input or Not?

[Asked by Guest]

Dear All,

Greetings of the day. We are a service provider (Health care slimming and Beauty) and our Managing Directors- will visits various places due to improve the business for business promotions purpose. I want to know can we avail Service tax input paid to hotels at the time of business tours?

Kindly clarify me.

Thanks is advance.

Regards

Laxman J

AI Summary

Input service tax credit allowed only when hotel bills show nexus with output services and are billed to the firm.
Input service tax credit on hotel accommodation is allowable only if a clear nexus between the hotel stay and the taxpayer's output services is established. Bills must be addressed to the business enterprise with complete particulars and be supported by documentary evidence of the business purpose (for example, a detailed tour programme). Bills in a director's personal name generally will not substantiate entitlement to credit.