we have two outlets of different brands, one is on commission
basis which we have received service tax on commission and another one is on
buy and sale store in which we have received service tax input on credit
card sales, housekeeping and security expenses, telephone ex etc.
Now our question is that can we set off input of second store from first
store.
Please advise in the same regard.with relevant section/notification
In one store you are doing commission agency business and other store is trading. Doubt is whether credit from input services namely credit card, security,telephone arising at trading store can be utilised for paying service tax on commission . Answer is no. Trading is nontaxable activity and the input services are wholly attributable to this activity.
Yes Mr. Nair is correct.I agree with him.
CAclubindia
