Outward Freight

This query is : Resolved

shital desai (Querist)
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20 August 2007 1. What does it mean " Upto the Place of Removal" ?

2. Service tax on ouward freight i.e. Finished goods transferred from factory premises to customer premises,can it be availed as "Input Credit" ?

3.Any consignment upto Rs 750 is not taxable. Any consignment vehicle with service charge collection upto Rs 1500 is not taxable. What does it mean?

Raj

Raj (Expert)
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20 August 2007 Place of removak can be gate of factory/Depot/ware house.

Yes you can get credit.
if it is single consignment then Rs.750 & if more than one consignment but collectively charging then Rs.1500/-

Yash Arya

Yash Arya (Expert)
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30 August 2007 The place of removal means the point where the goods are sold, it may be factory, depot or branch.

No, Cenvat Credit of service tax paid on outward freight from factory to customer premises is not allowed. (Dispatch and receiving points should be of manufacturer).

No service tax on freight if
Full truck load Upto Rs. 1500/-
Part truck load upto Rs. 750/-

Please revert for any further query.
regards
yash arya

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