Availing Cenvat credit - Manufacturer+service provider

 

Our company is a manufacturer as well as service provider. Hence, we are chargeable of both excise duty and service tax. We are also availing cenvat credit on inputs/input services/inputs on capital good.  Now the problem is with taking cenvat credit.  My doubt is:

1.     1.   Whether we have to apportion the cenvat credit available in the ratio of revenue from manufacture and service provision?

2.     2.   Cenvat credit on Input services are pertaining to Audit fee paid/Telephone charges/Consultant fee etc.. (ie, administrative     expenses) but has a nexus with both manufacture and service provision, but inseparable. In this situation how to take cenvat credit against Excise duty and Service tax payable?

Dear friends and experts in CA club Please give suggestions and help me.............

Replies (1)
Originally posted by : CS.Sreejan


 

Our company is a manufacturer as well as service provider. Hence, we are chargeable of both excise duty and service tax. We are also availing cenvat credit on inputs/input services/inputs on capital good.  Now the problem is with taking cenvat credit.  My doubt is:

1.     1.   Whether we have to apportion the cenvat credit available in the ratio of revenue from manufacture and service provision?

2.     2.   Cenvat credit on Input services are pertaining to Audit fee paid/Telephone charges/Consultant fee etc.. (ie, administrative     expenses) but has a nexus with both manufacture and service provision, but inseparable. In this situation how to take cenvat credit against Excise duty and Service tax payable?

Dear friends and experts in CA club Please give suggestions and help me.............

 

The availment of credit is separate from availment. As long as the same are eligible bifurcation b/n manufacture/ service is not required. Can be used for either payment.

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