CENVAT CREDIT ON GTA

[SANJEEV JADHAV]

Dear Sirs, My query is releating to availment of service tax credit on payment made by transporter. Please clarify whether we can avail cenvat credit of GTA paid by transporter. 

AI Summary

Claiming CENVAT Credit on GTA Services: Ensure Service Tax Compliance Under Rule 3, Cenvat Credit Rules 2004. A discussion forum addresses the issue of availing CENVAT credit on service tax paid for Goods Transport Agency (GTA) services. The consensus is that credit can be claimed if the service tax liability falls on the payer, typically under reverse charge mechanisms. It is advised to pay service tax directly rather than through the transporter and to ensure compliance with Rule 3 of the Cenvat Credit Rules, 2004. Participants emphasize the importance of confirming one's liability to pay the service tax and suggest paying by cash to avoid complications. Concerns about reversing credit if payments to transporters are delayed are also raised.