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Service tax input

Queries 920 views 4 replies
  1. When labour contractor will start charging Service Tax in their bill, can we take set off of such (INPUT)tax paid from our service tax payable (OUTPUT). in case nature of expenses will differ e.g. we are paying service tax on behalf of  transporter i.e our service tax output and we are paying service tax (INPUT) of bill received from labour contractor, Security bill, Telephone bills, water bills?  Can we take a set off from transportation i.e carriage outwards ?
Replies (4)

cenvat credit (input tax credit) can not be used to discharge service tax payable under reverse charge method. hence the answer to ur query is No.

Assessee can avail the cenvat credit credit on input services only for discharging the liability of service tax payable on output service provided.

Credit of input service s is not available for paying service tax under GTA.

you have to pay service tax under GTA by PLA only.

Thank you so much!

input credit cannot be availed against transport bills. inputcredit is not allowed because government is already allowed 75% abatment on GTA. 


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