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Service tax input credit

Queries 388 views 1 replies

Sir

1. A Company work contarct with B company and after B company Charge bill  to A company Contarct work+ Srevice Tax 40%. (in abdement scheme .)

B company collecet Amount from A company and Paid to Govt siervice tax (40 % on work contract Value ) in abdement scheme .

Then after A compnay can aviled service tax input credit ?

if no than what optioon open to  A company?

 

 

 

 

 

Replies (1)

If B Company is providing construction related services, then you may only claim Cenvat credit, when you are also providing the similar services. Else, you should not be eligible to claim the Cenvat credit.

Thus, please detail the nature of service provided by B.


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