Plz help expertes as i m totally confused on Service tax lia

This query is : Resolved

CA Rakhi Govil (Querist)
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06 December 2010 Respected experts
first of all,
I want to explain the whole situation then I will ask the question
1)we are manufacturer of soya bean oil and having our own plant.
2)We are having Central excise registration as well as service tax registration.
3)We are taking GTA services along with other input services like engineering services, legal servises, professional servises.
4)As we are taking GTA services, we have to pay ST on these services for which we are filing ST 3 also

Now my questions are:
1)can we utilize the service tax pay on other services in paying ST on GTA services?
2)As we are filing ST 3 for GTA services, can we show credit of ST taken on other services in the same return?
3)i think we will file ST 3 only for GTA services and will not show any credit for other services in the same return. We should show the credit of other services along with GTA services in the excise return as our input service credit. Am i correct on the above?

this is my request to all my respected experts to give full and elaborated solution on this problem.as i m totally confused and having some disputes with my senior on this matter.

With regards

Rakhi Govilo

Rajesh Kumar

Rajesh Kumar (Expert)
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07 December 2010 1. The department insist that service tax on GTA should be paid in cash, although a few contrary judgments are there. Nevertheless, we advice our clients to pay ST on GTA in cash.
2. As there is no input services for GTA, the ST return will not show any input credit. Thus the point 3 is correct.
3. Service Tax paid on the services, including GTA shall be shown as cenvat credit in excise return.

CA Rakhi Govil

CA Rakhi Govil (Querist)
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07 December 2010 thanks Rajesh Sir

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