CA IN SERVICE
33 Points
Joined September 2008
Dear Mr. Sharma ,
Thanks for your reply.
We are provider of Business auxilliary service under service tax act. We have also registered in service tax for port services and GTA for transportation of material . We are exporter of material and we used to bring the material in port and paying transportation charges. So the transportation is in the nature of Freight Inward only.
Now my question is as below-
1) Can we take credit of GTA and adjsut the same with output service tax liability of business auxilliary service.
2) can dept deny the credit and adjustment saying that the GTA was related to trading activity service.
3) IS there correlation require between input and output.
Please help and provide the provision of the law also by which we are allowed to take credit and adjsutment with Business auxilliary service.
Thanks & Best Regards
S. Tiwary