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Excise Audit objection-Service Tax cr regd use of mobile ph

SAIKAT BISWAS (SERVICE) (36 Points)

24 May 2008

We have received an EA-2000 Audit objection regarding availament of Input tax credit for usage of mobile phone in our manufacturing unit.Please guide us according to the legal provision that can we take the same input credit and set off our cenvat duty payable?

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3 Replies

OFFICESELVA (Service) (515 Points)
Replied 24 May 2008

What is the objection? Is that the bills are in the name of individuals or payment not made by the compay etc.,

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(Guest)

U can take the advantage of credit.

SAIKAT BISWAS (SERVICE) (36 Points)
Replied 09 June 2008

Objection is about Input Tax credit for usage of Mobile phone provided to the employee.Authority explain that service tax paid against mobile phone usage can not be take as Input Tax Credit that the usage of the same may not be for official purpose.Further their is no such direct or indirect relation to the manufacturing activity.Can you inform me is there any similar case law regarding the same.