St credit on manpower billed by contractor

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This query is : Resolved

prashant (Querist)

28 October 2011 Hi Experts, I would like received your opinion on below.

One of our manpower supply contractor has raised the bill to us by mentioning only manpower charges but there was no pre-printed ST registration no. & they are just putting rubber stamp of ST code.
And they are not mentioning any rules/clause in bills.
So, are we eligible to avail ST credit on same.

Ram Avtar Singh

Ram Avtar Singh (Expert)

28 October 2011 yes you can take cenvat credit of service tax on the same. and verify your contractor service tax no. on assesee verification.

https://cbec.nsdl.com/EST/AssesseeVerification.do

prashant

prashant (Querist)

28 October 2011 so what will be procedure we need to follow at the time avail credit.

Pankaj Agarwal

Pankaj Agarwal (Expert)

28 October 2011 Yes, you can avail credit on the invoices raised by the contractor but however it is better to ask your contractor to issue the invoice in accordance with the provisions precribed under Rule 4A of the Service Tax Rules.

For availing the credit you have to ensure that your company details and address are duly filled in the invoice and are properly authorised.

prashant

prashant (Querist)

28 October 2011 Also we have observed that the contractor raised the bills by higher amount & accordingly we have deducted. So for this what type of accountability to be done.

Pankaj Agarwal

Pankaj Agarwal (Expert)

28 October 2011 It is better to ask the service provider to issue a fresh invoice with the reduced figure.

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