07 August 2014
I am an online service company dealing in various items. My business involves courier of each and every item as the business is centrally located.Since each and every product needs to be shipped, the same is shipped via India Post.So here my question comes since i charge service tax from each of my clients, whether i am eligible to claim cenvat credit on the service tax charged by India Post for shipping the products.
07 August 2014
Yes you can claim cenvat credit of the service tax so paid to the India Post as it is a eligible input service and also you should pay the service tax left after adjusting the cenvat credit.