Input Credit on Excise Duty paid for Output Service Tax

[Indrajit Mondal]

Dear Sir,

We are Pvt Ltd Company and registered under ST as Works Contractor Service...

My Query is when we are purchased cements from vendors we paid Excise Duty which we will use for construction of residencial complex for sale and and other WCT works so we have pay Service Tax under WCT

So my question is can we claim the Excise duty input against pay the Service Tax liability..

Please suggest with Notification..

AI Summary

Company Can't Claim Input Credit on Cement for Construction Due to Abatement Rules, Notification No. 26/2012-ST A private limited company inquired about claiming input credit on excise duty paid for cement used in construction, against their service tax liability under Works Contractor Service. Experts responded, referencing Notification No. 26/2012-ST, stating that credit on inputs like cement is not permissible if the company avails a 30% abatement on the gross amount charged. This abatement is contingent on not claiming CENVAT credit on inputs and including the land value in the charged amount. The consensus was that input credit cannot be claimed under these conditions.