https://www.taxtmi.com/article/detailed?id=5552 Renting motor vehicles designed to carry passengers is taxable unless covered by the negative list or specific exemptions; ownership is not required for the operator to qualify. A 60% abatement applies where Cenvat credit has not been taken (tax on 40% of value); if Cenvat credit is availed, abatement is disallowed and full value is taxable. Reverse Charge Mechanism applies when notified, making the service recipient liable. Cenvat credit on rent-a-cab services is largely restricted except where the vehicle is a capital good used in specified output services. en-us Fri, 04 Apr 2014 18:35:49 +0530 Wed, 11 Feb 2026 15:56:28 +0530 TaxTMI RSS Generator https://www.taxtmi.com/article/detailed?id=5552 Renting motor vehicles designed to carry passengers is taxable unless covered by the negative list or specific exemptions; ownership is not required for the operator to qualify. A 60% abatement applies where Cenvat credit has not been taken (tax on 40% of value); if Cenvat credit is availed, abatement is disallowed and full value is taxable. Reverse Charge Mechanism applies when notified, making the service recipient liable. Cenvat credit on rent-a-cab services is largely restricted except where the vehicle is a capital good used in specified output services. Articles Service Tax Fri, 04 Apr 2014 18:35:49 +0530 https://www.taxtmi.com/article/detailed?id=5552