Payment of s.b cess through cenvat credit

Queries 641 views 5 replies

can s.b cess be paid out of cenvat credit available or do we need to deposit it by cash only?

Replies (5)

It will be paid by Cash only.

I also thought the same but could you elaborate a little how did you came to this conclusion?

@ sonakshi

it is concluded as there is no amendment in the cenvat credit rules for the availment of cenvat credit for SBC.

Then it is generally understandable if there is no amendment , there will not be any credit available paid SBC.

 

SBC only must be paid thru cash only.

 

Thanks & Regards

Piyush Tanwar

M - 9717468521

it will b paid by cash only

As per the FAQ issued by the CBEC it is hereby clearify that credit of SBC is not allowed and CENVAT shall not be allowed to pay service tax. 

Following are the wording used by CBEC :

SBC is not integrated in the Cenvat Credit Chain. Therefore, credit of SBC cannot be availed. Further, SBC cannot be paid by utilizing credit of any other duty or tax.

 


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