The Bill amount may be inclusive/exclusive of service tax. In both cases is it possible to take input credit?
What are the cases in which input credit can't be taken?
CA SALONI
(CHARTERED ACCOUNTANT)
(391 Points)
Replied 12 February 2011
Yes ajay
If bill amount is exlusive & ST is shown separately, you can take credit of that amount.
If the Service tax amount is included in the bill then also u can take credit.
U S Sharma
(glidor@gmail.com)
(21056 Points)
Replied 12 February 2011
in case of inclusive, then there must be certificate on invoice , that service tax is included in invoice, amount ...........
as without such certification, it may be treated as "service from exempted unit"
CA Unnikrishnan Nair N
(Chartered Accountant)
(2083 Points)
Replied 15 February 2011
Service tax has to be seperately shown in the invoice for availing cenvat credit . If gross amount charged is inclusive of service and tax is not seperately shown, credit may be taken under proper intimation to department with a copy of the conatract that specifically conatin provision for this. Best course is to have the bill that shows service tax.
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