Cenvat credit of s.t. in case of reimbursement of exp

This query is : Resolved

Kriti (Querist)
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28 December 2013 We have used the services of C&F agent for import of machinery. The C&F agent has used services of other agents and sent the same bill to us as reimbursement of expenses. Those bills are in the name of C&F agent (both as importer & service receiver).
Now my que is:-
Whether we are eligible for CENVAT credit of service tax on such bills? If yes, any other compliance need to be fulfilled?

Please answer as soon as possible.

Thank you

@VaibhavJ

@VaibhavJ (Expert)
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28 December 2013 Hi

Since Invoice is raised in name of C&F you can not claim CENVAT.

Thanks

Kriti

Kriti (Querist)
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28 December 2013 Thanks Vaibhav for the prompt response.
My client is of different view that since the C&F agent has passed on the bills as reimbursement of expenses and has not availed CENVAT credit on it, therefore, company can take credit.

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@VaibhavJ

@VaibhavJ (Expert)
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28 December 2013 Hi

Yes, it is possible then. However you should take declaration & original invoice from him stating no cenvat is claimed on such invoices.

As long as there is relation of agent between you & him, you can claim cenvat.

Thanks

Kriti

Kriti (Querist)
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28 December 2013 Can you please cite specific section to it.

Asha Kanta Sharma

Asha Kanta Sharma

(Expert)
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19 July 2024 The eligibility to claim CENVAT credit on input services is provided under Section 69 of the Finance Act, 1994 read with Rule 4 of the CENVAT Credit Rules, 2004. Rule 9 of the CENVAT Credit Rules specifies the conditions and documentation required for availing CENVAT credit.