Cenvat credit on supply of materials

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santhosh Kumar

129 Points Joined September 2009

If a Contractor, supplies materials in addition to rendering the fabrication and erection at the clients site, will he be allowed to claim the input duty paid on the materials.i.e steels - will he eligible to claim it as CENVAT credit?

Replies (1)

Ajit kumar Dubey

Taxation Manager

637 Points Joined September 2008

As per your query the contractor is not into manufacturing business, hence steel is not an input for him then how come will he be entitled to CENVAT credit on inputs. He is not entitled to take CENVaT Credit on inputs.