CENVAT Credit on Air ticket

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....ENVAT Credit on Air ticket<br> Query (Issue) Started By: - Pradeep Jain Dated:- 6-1-2017 Last Reply Date:- 7-1-2017 Service Tax<br>Got 3 Replies<br>Service Tax<br>Dear Sir, our Company, manufacturing unit and doing small amount of service tax on re-work and under RCM also , has been purchasing air ticket though Travel agent for the tour of our employee and consultants as well. Now query is that ....

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....are we eligible to avail CENVAT Credit - (a) on service tax charged in the Air ticket ; (b) on service tax on service charges charged by Air Travel Agent. Regards Pradeep Jain Reply By Rajagopalan Ranganathan: The Reply: Sir, There are lots of case laws regarding the query raised by you. According to these decisions you are eligible to take credit of service tax paid on Air ticket charges ....

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....and service charges charged by Air Travel Agent. Reply By KASTURI SETHI: The Reply: Sh.Pardeep Jain Ji, If you can prove relationship between input service and output service, you can take credit otherwise it is not free from litigation. Whenever any assessee takes credit on the basis of case laws, it is not doubt-free as each and every case has different facts and circumstances. Trace out a d....

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....itto case and then analyse the situation whether you are able to establish relationship between input service and output service or in relation to manufacture of excisable product. Reply By Ganeshan Kalyani: The Reply: If credit amount is substantial and there are similar case law then credit may to taken but with risk of litigation. The department may not accept certain case laws. In that situa....

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....tion you will have to fight out the case with the help of an Consultant or inhouse tax person. Thanks.<br> Discussion Forum - Knowledge Sharing ....