Mr. X has paid service tax on import of services from UK as a receipient of service as per section 66A of the Service Tax Law. Can he avail CENVAT credit on this?
Rule 3(1) provides that CENVAT credit is available to the service tax paid under section 66 of the Act. Further, Rule 5 of Import of Service Rules says that, the service received from outside India shall not be treated as output service for the purpose of taking Cenvat Credit.
Please clarify whether Mr. X can take CENVAT credit of tax paid on import of service? If Cenvat credit is not available, can he claim refund of tax paid as a recipeint fo service?