As Excise duty is payable @ 1% on ready mix concrete (RMC) subject to that the assessee can not take input tax credit of excise paid on Input material.
But as the same assessee is also liable to pay service tax on works contract, can he take Cenvat credit of excise paid on purchase of raw material, used to produce RMC, against output service tax liability of works contract.
Please also refer any section/rule/notification (if any)
20 October 2013
Dear Sri Madhukar, as I was just browsing for similar query on net, I found your clarification. Sir, I am not clear on your clarification as you said inputs used in provision of taxable services are eligible and therefore same would not be eligible. This is giving contrary meaning and my confusion increased rather than clearing. I request you to please reclarify the same as per present provisions.
CAclubindia
