TaxTMI 
TaxTMI 
TaxTMI 
Cenvat credit of Service Tax
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....envat credit of Service Tax<br> Query (Issue) Started By: - Aitha RajyaLakshmi Dated:- 18-3-2017 Last Reply Date:- 18-3-2017 Service Tax<br>Got 7 Replies<br>Service Tax<br>Sir, Whether we can take the credit of Service Tax paid on Man Power engaged in different Schools as scavengers as a part of CSR Activity which mandates for a company under The Companies Act 2013. Reply By Himansu Sha: The Rep....
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....ly: No , it is mostly welfare activities having no relationship with the business of manufacture. The credit may not be available. Reply By Aitha RajyaLakshmi: The Reply: Thank u Sir, Though it is welfare activity we are not doing it voluntary but only in compliance with the provisions of the Companies Act 2013. Whenever we are availing credit in respect of Services availed in compliance with....
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.... The factories Act in a factory and Environmental Act to maintain greenary in a factory, why can't we avail credit in respect of Services availed in compliance with the Companies Act Reply By Himansu Sha: The Reply: The eligibility is goverened by the ccr04. The companies act prescribes guidelines for contribution towards social sector. Now almost all activities attract service tax. It is th....
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....e prerogative of the Govt. To decide the eligibility of credit and the limitations prescribed in the law to be adhered to. Reply By Ramaswamy S: The Reply: CSR and CCR are two different aspects. As per CCR, credit of service tax is allowed under three limbs: 1. Used by a manufacturer directly or indirectly in or in relation to manufacture of final products and clearance of final products upt....
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....o the place of removal 2. Used by provider of output service for providing an output service 3. inclusive services excludes certain services . If any one of the condition is satisfied, credit is allowable. CSR/ Welfare activities does not fall under any of the categories. Regarding your query regarding other statutes, the courts have held that those services are used directly or indirectly ....
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....in relation to manufacture of the final products and hence allowed. Hope this clarifies. Regards S.Ramaswamy Reply By KASTURI SETHI: The Reply: I support the views of Sh.S.Ramaswamy Sir.There are case laws on this issue. Reply By YAGAY AND SUN: The Reply: On this matter we have a totally different view as mentioned in our earlier reply. Reply By MARIAPPAN GOVINDARAJAN: The Reply: I also e....
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....ndorse the views of Shri Ramasamy<br> Discussion Forum - Knowledge Sharing ....