Service tax on renting of motor vehical to carry passengers


08 October 2012

Dear Sir

As per service tax under Renting of any motor vehicle designed to carry passengers when abetment is take by the service provider then the service recipient is suppose to pay service tax on 40% of the Invoice value, but we cannot take input credit as service tax is paid only on 40% but would like to know if service recipient can pay 100% service tax and take input credit

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