15 February 2016
Our creditors are issuing bills like security services, professional services etc where they don't show service tax(14%) & SBC(0.5) separately on invoices. I need advice's on.few of points:- Point (1): Should I ask for bill where service tax & SBC are to be recorded separately on invoice. Point(2): If, no need to be separate, then cenvat is not applicable on SBC. How can one claim cenvat credit where both the duty are clubbed on invoices. will be difficult to calculate? Point(3) Important point: If both the duty are to be recorded separately on invoice. When Telecom Co like vodafone, airtel, Idea. issue bills for mobile charges to a Company like 100 bills they also don't charge separately(ser+Sbc). How is this possible to ask them to charge separately in every blll of total 100 bills?.
17 February 2016
To claim CENVAT Credit the document - invoice of the service provider should show ST & SBC separately. In case they are not shown separately, the invoice is not valid and no CENVAT credit can be claimed. In case of Manpower Supply Service, if the service provider is not a body corporate and the recipient is a body corporate RCM is applicable - the service provider's bill will not show any amount on account of ST & SBC.
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