01 June 2011
Hello, Can anyone help me. A Company pays rent amounting to Rs 1 lac per month. The Lessor charges service tax on rent @ 10.3%. Is Lessee eligible to get credit of the Service tax like VAT credit adjustment ? Or is it a pure expense to the lessee company. Any forms to asked from the lesser for payment of service tax .
You may take Cenvat credit for the ST Paid on rent. The only condition is that should have certain liablities to pay either under Central Excise or Service Tax
01 June 2011
Thank you , Yes,The company has a liability towards customs duty foregone on duty free import of materials because it was an EOU. Is it possible to adjust? Or it`s a pure expense ?
CAclubindia
