Service tax

The following are the replies point wise:

1. The input credit of the Service Tax paid through reverse charge mechanism pertaining to transportation can be taken only for inward transportation of inputs or capital goods and not for outward transportation. The input credit can be taken subject to various conditions as prescribed in CENVAT Credit rules.
2. The Service Tax payable under reverse charge has to be necessarily paid in cash. Input Credit cannot be utilized for payment of such service tax. Hence, in the given case, Rs. 15000 has to be entirely paid under cash and Rs. 5000 can not be used for payment of Rs. 15000.
3. In the ST-3 return, the check box "as a service recipient" needs to be checked, and the gross amount pertaining to the Service Tax should be disclosed under the head "service receiver".

Adhithya Rvs thanks for reply one more doubt to be resolve is;

can we take input claim relating to service tax paid uder reverse charge mechanism in next month

You are welcome Surendra.

Yes, you can take input credit of current month, in next month, subject to a maximum period of one year from the date of payment of Service tax under reverse charge, in the present case.

one more thing that you said that fully paid in cash i.e payment through online not acceptable ?

In this context, Cash means, other than through Input credit. Online is only a mode of payment. Moreover, w.e.f. 1/10/2014, payment of Service Tax is necessarily to be made online through internet banking.

Hence, you should make online payment only.