22 December 2012
We had cenvat credit in excise regarding service tax paid by us on services bill charged by the party. But the dept send us the intimation that the service tax will not be available as cenvat credit as bill was addressed to our head office address. They told we do not have ISD (Input service Distributor) registration as we two unit in kolkata. So any bill in the name of head office should distributed to both the units. So if any circular or any case law is there where any service tax bill in the name of head office should be taken as cenvat credit in any one of the unit. please clarify me in this regard
22 December 2012
Input service distributor registration is required to distribute the credit of service tax on the bills raised at one unit to other unit which have service tax registration, bcz address of both the units are not same in your case and ISD have to raise the bill in the name other unit to distribute the credit of service tax.So depptt is right, u have to take ISD registration for distribute the credit of head office to main unit.
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