service tax credit

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Abhishek Kaushik

Abhishek Kaushik (Querist)
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17 March 2009 DO the service tax credit allowed on the expense incurred for A/C repair at office.plz explain.

Dayal

Dayal (Expert)
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21 March 2009 Activities relating to setting up, modernisation, repairs etc. - Activities in relation to setting up, modernization, renovation or repairs of following will be eligible for Cenvat Credit - (a) a factory (b) premises of provider of output service or (c) an office relating to such factory or premises.

So if you are providing services from that premise, and since it is a business expense you will be eligible for the input credit

However do inform the department in genral by writing that you will be availing credit of services such as ............. which includes A/c repair services.

This is a general guideline, you may equally evaluate your position as a service provider, as guidance is given on the enquiry and in absence of full details it is restricted to the enquiry made by you.