17 July 2008
We are planning to expand our existing plant. My querry is CEnvat credit would be available to us for the followings:
1. Capital Goods Purchased 2. Civil construction material 3. Cenvat credit for service tax to be payable for Design Consultancy,Landscape consultancy and Project management consultancy.
Point no 3 - I would like to know whether Cenvat credit would be available for service tax on consultancy charges for expansion of project paid to design consultant, project management consultant.
24 August 2008
Yes entire CENVAT credit can be availed. The restriction on civil construction material is only when you are letting out the premises on rent. As per Board Circular 98/1/2008, credit under Commercial or Industrial Construction Service and Works Contract Service is not eligible as input tax credit if the construction of property is for renting. As long as documents are in our name, CENVAT credit is eligible.
CAclubindia
