Cenvat credit on input services - construction service


This query is : Resolved 

(Querist)
11 January 2017 One of my Client is a Private Limited Company engaged in construction of Flats and Sell them. The Company takes abatement and pays service tax @30% of 15% (i.e) 4.5%. including the value of land.

Whether the company can take CENVAT credit on input services like architect services, Service tax paid on painting contracts, service tax paid on electrical contracts etc.

Keeping in mind the definition of Input service under CENVAT credit rules which states specified services.

Whether the company can take CENVAT credit on the services tax paid on the input service?

Kindly Clarify.


12 January 2017 No CENVAT allowable with abatement

CA Arun A (Querist)
12 January 2017 As per Notification 26/2012, CENVAT Credit on inputs only not allowable is given.

Can you please clarify Sir,

12 January 2017 Please accept my apology. It is my mistake having not paid proper attention. You are absolutely right, the CENVAT credit on Inputs only is not allowable. The Credit can be availed on Input Services by the provider of Construction services


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