Comapny's vehicle - cenvat credit

[HITENDRA DAVE]

service tax cenvat credit eligible or not for company,s vehicle

[Guest]

Dear, it depends upon the circumtances..... i.e. using of vehicle for what purposes..... you did not have mentioned about the same... so without knowing the purpose of vehicle it can be answered.... e.g. if vehicle are used for pesonals purpose then cenvat can not be taken... if vehicle are used for advertisement then cenvat can be taken.... ......

[Surender Gupta]

Only for specified activities mentioned under rule 2(a) of the cenvat credit rules, 2004 are eligible for availing cenvat credit of excise duty paid on vehicles. In general there is no cenvat credit on vehicles.

AI Summary

CENVAT Credit Eligibility for Vehicles Clarified: Personal Use Disqualifies, Advertising Qualifies per Rule 2(a) of 2004 Rules. A query was raised regarding the eligibility of CENVAT credit for a company's vehicle. One response highlighted that eligibility depends on the vehicle's use; personal use disqualifies it, while use for advertising qualifies. Another response clarified that CENVAT credit on vehicles is generally not available unless the vehicle is used for specific activities outlined in Rule 2(a) of the CENVAT Credit Rules, 2004.