06 December 2010
Respected experts first of all, I want to explain the whole situation then I will ask the question 1)we are manufacturer of soya bean oil and having our own plant. 2)We are having Central excise registration as well as service tax registration. 3)We are taking GTA services along with other input services like engineering services, legal servises, professional servises. 4)As we are taking GTA services, we have to pay ST on these services for which we are filing ST 3 also
Now my questions are: 1)can we utilize the service tax pay on other services in paying ST on GTA services? 2)As we are filing ST 3 for GTA services, can we show credit of ST taken on other services in the same return? 3)i think we will file ST 3 only for GTA services and will not show any credit for other services in the same return. We should show the credit of other services along with GTA services in the excise return as our input service credit. Am i correct on the above?
this is my request to all my respected experts to give full and elaborated solution on this problem.as i m totally confused and having some disputes with my senior on this matter.
06 December 2010
Service tax n GTA service has to be paid in cash. Credit can not be utilised for paying service tax on GTA services.
You have not used the input services for providing output services as you are the deemed provider only where the recepient of service is liable to pay tax.
There is no need to show input service credit in the service tax return of GTA service.
The input service credit should be taken as manufacturer of excisable goods and not as provider of output services.
CAclubindia
