Works Contract (Composition Scheme for Payment of Service Tax) Amendment Rules, 2011 - restriction on cenvat credit in certain circumstances - 01/2011 – Service Tax - Service Tax
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CENVAT credit restriction: limited credit available for specified services when service tax is paid after availing input credit. The amendment inserts a sub-rule in the Works Contract composition rules restricting CENVAT credit for specified taxable services: credit is available only to a limited extent when service tax is paid on the full value of the service after availing CENVAT credit on inputs. The provision modifies rule 3 of the principal rules and takes effect upon publication in the Official Gazette, changing credit entitlement under the composition scheme where input credit has been utilized.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
CENVAT credit restriction: limited credit available for specified services when service tax is paid after availing input credit.
The amendment inserts a sub-rule in the Works Contract composition rules restricting CENVAT credit for specified taxable services: credit is available only to a limited extent when service tax is paid on the full value of the service after availing CENVAT credit on inputs. The provision modifies rule 3 of the principal rules and takes effect upon publication in the Official Gazette, changing credit entitlement under the composition scheme where input credit has been utilized.
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