Our company had purchased land for expansion of existing plant. The land is part of factory premises. The service providers had provided various services i.e. Cleaning, Excavation, leveling, filling to develop the land for new project. The Professional & liaisoning services are also received.
Kindly guide us whether we are eligible to take Input service credit against the Bills received by us for said activities/ services?
Regards,
VINAY
Eligibility of Input Service Credit for Land Development Services Under CENVAT Credit Rules Questioned; Consultation Recommended A company inquired about the eligibility to claim Input Service Credit for services like cleaning, excavation, and professional services related to land development for plant expansion. Responses varied: some advised that such services qualify as Input Services under the CENVAT Credit Rules, allowing credit after service tax payment, while others cautioned that the term 'setting up' was removed from the definition in 2011, potentially complicating credit claims. It was suggested to consult with tax authorities to avoid future disputes. (AI Summary)
TaxTMI 
TaxTMI 
