Availability of CENVAT credit on certain input services

Queries 2262 views 2 replies

CA. VIVEK

CHARTERED ACCOUNTANT

32 Points Joined January 2009

Hello Everybody!

I seek your help to know whether a manufacturer can get CENVAT credit on the following 'Input Services'

a. Guesthouse expenses.

b. Telephone / Mobile bills in the name of directors / employees / others.

c. Head office house keeping expenses.

d. Corporate amenity/ credit card membership bill.

e. Office equipment repairs.

f. Factory - employees transportation.

g. Debenture registration fees, etc.

I'll be grateful of you if you can give one-by-one reference of applicable Rules/Circular/Notification/Case Law, if any.

THANKS!

Vv1:-)

Replies (2)

Rajesh Kumar

Advocate- Tax

7806 Points Joined December 2008

Yes, all services are eligible for credit. The point is clear from the definition of input services itself in cenvat credit rules.

krishna iyer

Sr.Finance Manager

197 Points Joined February 2009

Dear Sir,

For cenvat credit eligibility, the input services should be availed directly or indirectly in or in relation to manufacture . So there should be nexcus to manufacture. In that context, I doubt whether Guest house expenses, corporate amenity/credit card memberships will be eligible.

kindly clarify