Service tax paid on GTA

[Mridul Sethi]

Can we take credit of Service tax paid on GTA Services for Excise Duty Payment...  Mridul

[Shyam Naik]

Cenvat Credit is available across Goods & Services with effect from 10/09/2004. You can take Cenvat Credit of Service Tax paid on GTA, if it satisfies the definition of Input Service.

Normally, credit on outward transportation is allowed upto the place of removal.

[Suresh Kumar Agareal]

You can take credit of Service tax paid on GTA service as Input service as per rule 2(l) of Cenvat Rule and on outward transportation upto the place of removal and/or upto the buyers premises if the contract is for supply of goods as buyers premises and the goods remain under the your control till supplied at buyers premises.

S.K.Agatwal

[Sandhya Srinivas]

Can credit be taken even if abatement of 75% is taken on the service tax paid as receiver of GTA services?

[Shyam Naik]

Yes. Cenvat Credit can be taken even if tax is paid on GTA after availing 75% exemption, provided it is an input service.

AI Summary

Cenvat credit availability for GTA services: input service qualification permits credit up to place of removal or buyer's premises.
Cenvat credit is claimable for GTA services if they qualify as an input service; credit is allowable up to the place of removal or up to the buyer's premises when delivery under contract keeps goods under supplier control, and credit remains available even where a statutory abatement has been availed and tax is paid on the balance.