29 May 2015
Dear Sir Our company(Pvt Ltd)Reverse service tax(RCM) paid on amount of service received from --- contract service,Transport Agency,Legal service,Cab service But there is nothing any output service tax in our company. So, my question is --- should we avail input credit benefit from service tax of Telephone bill,Professoinal fees & Others Charges etc Kindly clearify about above topic. Thanking you.
Since there is no output liability (as a service provider), you will not be eligible to avail any input credit. Also, reverse charge liability needs to be paid in cash and cannot be paid by utilizing input credit.
CAclubindia
