Input Service Distribution

[Manoj Sahu]

What will be the process of getting Input Service Distribution of the service tax which is paid by a Head Office. Input service distribution is distribution by Head Office to the branch as Branch is clearing excisable goods and is subject to payment of service tax.

 

AI Summary

Clarification on Input Service Distribution for service tax: Refer to Rule 7A, CENVAT Credit Rules 2004, for guidance. A query was raised regarding the process of Input Service Distribution (ISD) for service tax paid by a Head Office, which is then distributed to a branch responsible for clearing excisable goods and paying service tax. The response directed the inquirer to refer to Rule 7A of the CENVAT Credit Rules, 2004, which was inserted by Notification No. 10/2008-C.E. (N.T.) effective from April 1, 2008, for guidance on the matter.