Credit of service tax

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This query is : Resolved

Naveen (Querist)

27 September 2012 Hi All,

Please provide your expert knowledge on the subject of the cevat credit.
the firm has sublease the infrastructure to another company and issuing the service tax invoice. they are also paying the service tax to the owner of the property. in this case how much service tax is available for the cenvat credit.
for eg

company A is paying rs. 112360 as rent(including service tax)
company A has leased some part to company B and receving rs. 56180 (including service tax)

in this how much cenvat credit can be taken?

Thanks.

CA. Vikash Chandra Jaiswal

CA. Vikash Chandra Jaiswal (Expert)

27 September 2012 In the present case Cenvat for the whole amount of service tax paid on input service i.e. rent paid to owner by Company A: 12360.00 can be claimed as CENVAT.
But here total output Service tax laibility is Rs 6180.00 may be paid by CENVAT.

Naveen

Naveen (Querist)

27 September 2012 Thank you sir.

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