Query

can service tax paid on telephone services be fully utilised on output services in the bank or there is some threshhold limit, kindly explain?

Hi Ravi

We can utilized the Service tax credit upto we have paid.

For example- our bill was Rs 1123.6 (1000+ 123.6) But we paid only Rs 500 (445+55 Service Tax). So we can only claim for Rs 55as Cenvat Credit  (which is the Service Tax as per calculation).