Can we claim cenvat of service tax paid(rcm)

Hi Valerin,

Client company have to pay Rs 3090 (RCM) in cash to government. RCM liability cant be discharged by utilising CENVAT. Client Company after payin in cash can take CENVAT of it

Client Company can take CENVAT Credit of ST paid to Service provider on 6/11/2012 if the same was paid to service provider along with bill amount before 31/10/2012.

 Under Joint Charge Mechanism, the client company (receiver of service) can avail the CENVAT Credit charged by the Service Provider in his invoice as and when the company receives the invoice and also utilise the same to discharge service tax liabilities on other taxable services.

The liability of service tax arising by virtue of Section 68(2) of the Finance Act (i.e., RCM/ JCM) to the receiver cannot be discharged by utilising the available CENVAT credit. As pointed out by CA Pradeep Nainawati, it has to be paid by cash to the government. The client company can avail/ utilise the said tax only after making the payment of value of service along with the service tax to the service provider.

My company is a service receiver paid  ST of GTA ita trading compnay only can we calim the  ST which I have already paid through RCM please advice