Service tax- reverse charge on gta

This query is : Open

Querist : Anonymous

Querist : Anonymous (Querist)

12 December 2012
In case of REVERSE CHARGE,

Can abatement be claimed by the service receiver in case of GTA service i.e. pay 12.36% on 25% of taxable value, if service provider is claiming cenvat credit of inputs????

CA CS Amit S. Kedia

CA CS Amit S. Kedia (Expert)
Follow

12 December 2012 If service provider is getting cenvat credit then service receiver is not eligible for abatement

CA AYUSH AGRAWAL

CA AYUSH AGRAWAL (Expert)
Follow

12 December 2012 condition that CENVAT credit on inputs, capital goods and input services, used for providing the taxable service, has not been taken under the provisions of the CENVAT Credit Rules, 2004. (See Notification No. 26/2012-ST dated 20.06.2012)

Upgrade to CAclubindia Pro. Subscribe Now!

Querist : Anonymous

Querist : Anonymous (Querist)

12 December 2012 Thks.

Some more queries :
1.In case of Reverse Charge, if service tax ia collected and paid by the ssrvice provider then is the service receiver liable to pay it again.
For eg : If the Service provider- Advocate has given the bill applying service tax. Now is the service receipient liable to pay service tax again under reverse charge.

2. Is appointment of catering service considered as Works contract ( for reverse charge)