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Defination of 'Input Sevice Distributor'

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An 'input service distributor' is defined in rule 2(m) of the Cenvat Credit Rules as to mean 'an office of the manufacturer or producer of final products or provider of output service, which receives invoices issued under rule 4A of the Service Tax Rules, 1994 towards purchases of input services and issues invoice, bill or as the case may be, challan for the purposes of distributing the credit of service tax paid on the said services to such manufacturer or producer or provider, as the case may be'.

 

Please explain above defination with example.

Replies (2)

I am doing working of Input Service distribution on assginment basis in the Company name GBL, situated in Pune. 

GBL's head office is in Pune and Factroy is in other place - Wai,

Both Factory and Head office has different Service Tax Reg. No.

in this case Head Office is Input Service Distributor as they availed service tax credit and forward it to Factory for utilisation against Excise  Duty.

This is done on monthly basis.

 

 

 

 

thanks sheetal


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