Amendment to CENVAT Credit Rules

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....nbsp;        (ii) for sub-clause (B), the following sub-clause shall be substituted, namely:―                "(B)  motor vehicle designed for transportation of goods including their chassis registered in the name of the service provider, when used for-                     (i) providing an output service of renting of such motor vehicle; or                     (ii)  transportation of inputs and capital goods used for providing an output service; or                     (iii) providing an output service of courier agency"            (iii) for sub-clause (C), the following sub-clause shall be substituted, namely:―                "(C) motor vehicle designed to carry passengers including their chassis, registered in the name of the p....

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....ause (ii), for the words " but excludes services", the words " but excludes" shall be substituted;           (iii) for sub-clause (A), the following sub-clause shall be substituted, namely:-                "(A) service portion in the execution of a works contract and construction services including service listed under clause (b) of section 66E of the Finance Act (hereinafter referred as specified services) in so far as they are used for -                     (a)    construction or execution of works contract of a building or a civil structure or a part thereof; or                     (b)   laying of foundation or making of structures for support of capital goods,                     except for the provision of one or more of the specified services; or";           (iv) in sub-cl....

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....nbsp;   (b) after sub-rule (4) of the said rules, following shall be inserted, namely:-           "Explanation. - CENVAT credit cannot be used for payment of service tax in respect of services where the person liable to pay tax is the service recipient"      (c) in the proviso to sub-rule (5B), for the words "taxable services" the words "output services" shall be substituted; 4. In rule 5,-      (i)  in sub-rule (2), in the second proviso, for the words and figures "Export of Services Rules, 2005" the words and figures, "Service Tax Rules, 1994" shall be substituted;      (ii) in Explanation 1,  for the words and figures "the provisions of Export of Services Rules, 2005, whether the payment is received or not" the words, figures and letter "rule 6A of the Service Tax Rules 1994" shall be substituted; 5. In the said rules, after rule 5A, the following rule shall be inserted, namely:-      " 5B. Refund of CENVAT credit to service providers providing services taxed on reverse charge basis.-   A  provider of service provi....

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.... 1994, has been availed, shall be the value on which the rate of service tax under section 66B  of the Finance Act, read with an exemption notification, if any, relating to such rate, when applied for calculation of service tax results in the same amount of tax as calculated under the option availed; or                (c)        in case of trading, shall be the difference between the sale price and the cost of goods sold (determined as per the generally accepted accounting principles without including the expenses incurred towards their purchase) or ten per cent of the cost of goods sold, whichever is more.                (d)  in case of trading of securities, shall be the difference between the sale price and the purchase price of the securities traded  or one per cent. of the purchase price of the securities traded, whichever is more.                (e) shall not include the value of services by way of extending deposits, loans or advances in so far a....