service tax credit

This query is : Resolved

MANISH KUMAR (Querist)
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08 January 2009 Sir

Although the manufacturing unit is closed and in same place HO is running on. All the plant of manufacturing unit is transferred to its other unit in the month of Sep,08. now we have got a bill including service tax.
Our query is that whether we can avail the credit of Such service tax or not, or we can tranfer the same to other unit.

THANK YOU

MANISH KUMAR

Rajesh Kumar

Rajesh Kumar (Expert)
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08 January 2009 The issue is simple- service tax bill has been raised in the name of HO. There are hundred of judgments which says, even in case of goods that cenvat credit cannot be denied merely because the invoice is in the name of head office. Thus even if the invoice is in the name of head office, cenvat crediy cannot be denied.
However, it is suggested that your head office can take registration as Input service distributor, so that it can transfer such credit to the manufacturing unit on input services.