Dear Friends
Full Reverse Charge
In case of full reverse charge, liability of service tax is on service receiver. Service receiver deposits service tax.
But who is entitled to take cenvat credit of service tax in full reverse charge.
Partial Reverse Charge
In case of partial reverse charge, liability of service tax is both on service provider (say 40%) and service receiver (say 60%). Service receiver deposits his share of service tax (60%). Service receiver pays to service provider service tax (40%). Service provider deposits the service tax (40%).
Now in this case who is entitled to take cenvat?
Are both eligible for their respective shares?
Regards
CAclubindia
