Cenvat cr.- furnace oil & high flash high speed deisel oil

This query is : Resolved

MITHUN KUMAR (Querist)
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04 October 2011 Hi friends,

Whether following inputs are eligible for cenvat credit against the output service tax :

1. Furnace Oil used as input (as fuel for ship)- out put service is time chartering of ships/cargo handling.

2. High Flash High Speed Deisel Oil used as input (as fuel for ship i.e.,dredger)- Output service is dredging service.

Thanks.

U S Sharma

U S Sharma (Expert)
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04 October 2011 1. as time charting does not relate the service provider with client, but through agency, so the agency is not eligible for input credit but the ship owner company can, provided the shipping company is not availing any exemption or abatement.

2. same as above