INPUT CREDIT OF SERVICE TAX

This query is : Resolved 

27 January 2009 CAN WE CAN CLAIM INPUT CREDIT ON REIMBURSEMENT OF EXPENSES OF EMPLOYEES LIKE TELEPHONE EXP,INTERNET CHRG ETC

27 January 2009 Yes, if it is in relation to business, like if liable for FBT or allowed as business expenses under Income Tax Act.

27 January 2009 Difficult to answer.

In a recent case, the department had denied cenvat credit on mobile phone, as the bill was in the name of the employee. However, the tribunal allowed the appeal by way of remand.


08 February 2009 If its wholly used for business purpose, it is allowable



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