courier service tax

[Guest]

R/sir, We are manufacturing unit , is Service tax credit elligible on Courier send outside ( other party ) ? Payment on courier bill with service tax & courier pary is register under serivice tax & document is valid but excise person disallow say that credit not elligible please guide . SNEHAL SHAH

AI Summary

Service tax credit on courier services confirmed as eligible for CENVAT credit; aligns with input service definition. A manufacturing unit inquired about the eligibility of service tax credit on courier services used for sending items outside the company. Despite having valid documentation and the courier service being registered under service tax, the excise department disallowed the credit. A respondent clarified that service tax on courier services is eligible for CENVAT credit, as it falls under the definition of input services related to business activities. Another participant agreed with this interpretation, suggesting the inquirer inform the excise personnel about the eligibility for service tax credit.