Eligibility of input credit

This query is : Resolved

Querist : Anonymous

Querist : Anonymous (Querist)

06 February 2017 Sir\madam,

Query relating to eligibilty of Input tax credit:

X ltd is a manufacturing Company situated in chennai . It has Branches in other states for Selling the products . X Ltd has been paying the rent of branches situated in Other states.whether X ltd can adjust service tax on rental portion while paying Excise Duty . X ltd does not have a service tax liability .

CA R SEETHARAMAN

CA R SEETHARAMAN (Expert)
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06 February 2017 Yes input credit can be taken on service tax paid on rental portion while paying central excise.

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Querist : Anonymous

Querist : Anonymous (Querist)

06 February 2017 Sir,

Thanking for the reply,
But I am in still confusion about this , Those rental activites as said above all are after removal of goods from factory, Selling of products through branchs( service tax on rent ) are not related to manufacturing activity . Can u just explian about this

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