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GTA Services

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Querist : Anonymous (Querist)
09 July 2011 If Service Tax is paid by service receiver in GTA services & abatement of 75% is claimed ,i.e., Service Tax is paid ON amount equal to 25% of Services, Then would Assessee eligible to Claim Cenvat Credit on tax paid (10.3% * 25%) ???

09 July 2011 According to me Cenvat Credit can be claimed, because the abatement allowed is not related with the credit taken.

09 July 2011 As per Service Tax rules 1994, section 65(105), service tax paid by service receiver on GTA services, can be availed (to the extent of 25% of GTA service value) as Cenvat credit against duty liability payable.


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