TaxTMI 
TaxTMI 
Q1....For Taking Credit of service tax what document should be prepared by service provider .
Q2. What do you mean by Input Service Distributor ? and what are the examples what are the implication of it in service tax ?
Query on Service Tax
28 Apr 2012 
1 Reply 
1887 Views Asked by
Input Service Distributor: registered office distributes service tax credit to units, with pro rata allocation by turnover.
CENVAT credit for service tax is available to the service recipient on specified documents including invoice, bill, challan (including reverse charge payment challan), debit note with invoice elements, or TR 6/GAR challan. An Input Service Distributor registers to receive service tax on shared services and issues monthly invoices to distribute credit to manufacturing or service units. Credit wholly used by one unit is allocated to that unit; credit for services used by multiple units is distributed pro rata based on each unit's turnover relative to the total turnover of the units. (AI Summary)
CENVAT credit for service tax is available to the service recipient on specified documents including invoice, bill, challan (including reverse charge payment challan), debit note with invoice elements, or TR 6/GAR challan. An Input Service Distributor registers to receive service tax on shared services and issues monthly invoices to distribute credit to manufacturing or service units. Credit wholly used by one unit is allocated to that unit; credit for services used by multiple units is distributed pro rata based on each unit's turnover relative to the total turnover of the units. (AI Summary)