Our company is having different units located across India and we are providing output services to outside customers and to our other sister units.
If we provide any out put service to any of the sister unit then the service tax will not be applicable.
My doubt is can we take the cenvat credit on input services exclusively used in providing output services to other sister unit ...?
Pls help...
No one can provide service to itself. From your query it seems like you are availing certain services in your head office which is then distributed to your branch offices.
If such units are centrally registered, then you can avail CENVAT Credit on input services used for provision of output service. However if you are not centrally registered, you need to take registration as Input Service Distributor and distribute the service tax in terms of Rule 7 of CENVAT Credi Rules, 2004
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