SERVICE TAX-CREDIT

[HITENDRA DAVE]

Sl.No.	Description of a service	Percentage of  service tax payable by the person providing service	Percentage of service tax payable by the person receiving the service
8.	in respect of  services  provided or agreed to be provided  by way of supply of manpower for any purpose 4[or security services]	25%	75 %

Dear Sir

We are working in Engg  mfg  company , whether we are  eligible for above cenvat credit after paid  and same can be utlised in output sales / service?

With Regards

HITENDRA  DAVE

[YAGAY and SUN]

According to the provisions of CCR as amended time to time, CENVAT credit will be available to you.

[Harsh Jindal]

CENVAT credit in respect of such input service shall be allowed on or after the day on which payment is made of the value of input service and the service tax paid or payable as indicated in invoice, bill or, as the case may be. Yes, you may have the option to utilise the credit in output sales/service.

AI Summary

Cenvat credit availability for manpower supply services is permitted once payment and invoice reflect the service tax. Cenvat credit for input services relating to supply of manpower, including security services, is available to the recipient under the Cenvat Credit Rules. The credit is admissible on or after payment for the input service and when the service tax paid or payable is indicated in the invoice or bill, and such credit may be utilised against output tax liabilities on sales or services subject to the Rules.