TaxTMI 
TaxTMI 
AUDIT QUARY
10 Jan 2011 
1 Reply 
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Input service: Cenvat credit allowed on manpower consultancy when used in manufacture and clearance of final products.
The definition of input service under the Cenvat Credit rules includes services used by the manufacturer, directly or indirectly, in or in relation to the manufacture of final products and clearance of final products up to the place of removal, and expressly lists recruitment and similar business services; accordingly, credit on manpower consultant invoices used in production and clearance is covered as an input service. (AI Summary)
The definition of input service under the Cenvat Credit rules includes services used by the manufacturer, directly or indirectly, in or in relation to the manufacture of final products and clearance of final products up to the place of removal, and expressly lists recruitment and similar business services; accordingly, credit on manpower consultant invoices used in production and clearance is covered as an input service. (AI Summary)
R/sir, We are Manufacturing unit & Credit taken on Manpower consultant Invoice & same utilise it for production ( final product ) despatch . Is it valid or not ? Regards, SNEHAL SHAH