TaxTMI 
TaxTMI 
Cenvat credit - Travelling agent services
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....envat credit - Travelling agent services<br> Query (Issue) Started By: - Vijay Chitte Dated:- 15-12-2006 Last Reply Date:- 15-12-2006 Service Tax<br>Got 1 Reply<br>Service Tax<br>"A" (Travel agent) av....
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....ailed service from "B" (Other travel agency)for providing service to his client "C". "B" (other travel agency)raised the bill to "A" for Rs.10490/- [10000 + 490 (S.T. 4.9%)]. "B" paid this bill in tim....
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....e. Now "A" raise the said bill to "C" including his profit margine Rs.1000 e.i Rs.11000 (10000+ +1000). My question is: Can "B" charge the service tax @4.9%(After taking abatment)OR @12.24%? If, he ca....
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....n charge the service tax @4.9%, Can he take the CENVAT credit which aviled from "B"? Reply By Surender Gupta: The Reply: In the notification no. 1/2006 it clearly prohibited to avail the two benefit....
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....s simultaneously. You have to choose either to avail the exemption (abatement) or to pay full service tax. If you want to pay at concessional rate, cenvat credit is not available.<br> Discussion Forum....
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