TaxTMI 
TaxTMI 
Cenvat credit-reg
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....envat credit-reg<br> Query (Issue) Started By: - N Balachandran Dated:- 6-4-2012 Last Reply Date:- 7-4-2012 Service Tax<br>Got 2 Replies<br>Service Tax<br>Sir, When we provide both exempted services and taxable services and not maining the seperate records, what is the basis for calculation for eligible Cenvat credit under the following circumstances: 1. The Service tax paid on input services wh....
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....en the corresponding output services are taxable 2. The Service tax paid on input services when the corresponding out put services are not taxable . 3. The service tax paid on common input services when they used for both services exempted services and taxable services My question are: 1. The Service tax paid on input services when the corresponding out services are not taxable, Is it possible....
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.... to take cenvat credit and adjust against tax payable on output services which are not related to this input services? 2. Can we take the cenvat credit when the Service tax paid on common input services and adjust against the tax payable on output services? Is there any formula for calculation of Cenvat credit? 3. Is there any restriction for availing Cenvat credit and is there any specific serv....
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....ices where are not eligible for Cenvat credit?. 4. The Service tax paid on input services and the same has been adjusted against the corresponding out services which are taxable, what will happend to the service tax paid on common input services. Pl clarify Regards N.Balachandran . Reply By ALOK GUPTA: The Reply: Rule 6 (3) of Cenvat Credit Rule, 2004 prescribes the provision of availment ....
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....& utilization of CENVAT Credit when a service provider provides both taxable & exempted services. I think, if you go through it you would find answers of all four questions. There is formula, there is provision to calculate the CENVAT Credit on proportionate basis & also there is provision to pay 5% (now 6%) of exempted service if you are unable to maitain the separate records. In case you find an....
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....y difficulty after reading these provisions, you may feel free to ask any question. Reply By N Balachandran: The Reply: Thanks for the clarification provided.<br> Discussion Forum - Knowledge Sharing ....