Cenvat credit

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Subhra Kanti Chatterjee

Account Executive

61 Points Posted on 06 January 2013

Dear Sir

We are paying service tax on GTA on carriage I/W & O/w , and then we are taking ser vice tax credit to adjust the excise duty payable amount only on carriage I/W amount..

Can we adjust the service tax credit on GTA on carriage o/w amount also to adjust the excise duty payable amount ? pl. advice and also give the notification no. too.

Thanking you

Subhra

Replies (2)

Rajeev Kumar Garg

Consultant of Excise Customs & Service

836 Points Posted on 06 January 2013

Dear Mr. Chattarjee,

Cenvat Credit is applicable on input services only as per Cenvat Credit Rules 2004 and input service covers freight inward service and freight outward service from the factory of goods upto the place of sale depot or place of removal. But when, place of removal or point of sale is factory gate, cenvat credit on freight outward service is not allowed.

Thanks

Rajeev Kumar Garg

(M.Com, L.L.B.)

Consultant (Excise, Customs & Service Tax)

Ph. No. 7500802402.

CA ANKUSH AGGARWAL

CHARTERED ACCOUNTANT

2782 Points Posted on 30 January 2013

Originally posted by : Rajeev Kumar Garg
	Dear Mr. Chattarjee, Cenvat Credit is applicable on input services only as per Cenvat Credit Rules 2004 and input service covers freight inward service and freight outward service from the factory of goods upto the place of sale depot or place of removal. But when, place of removal or point of sale is factory gate, cenvat credit on freight outward service is not allowed. Thanks Rajeev Kumar Garg (M.Com, L.L.B.) Consultant (Excise, Customs & Service Tax) Ph. No. 7500802402.