Deena.Vanan (Grad. CWA, ACA, CS(F)) (120 Points)
22 September 2011Can a company claim input credit on payment of the bill which is not adressed to the registered office of the company.
i.e The bill is raised in teh name of some other persons, but the company paid for that amount and also used it as a input service for rendering its out put service.
Akhil Sharma
(Service)
(141 Points)
Replied 23 September 2011
| Originally posted by : dina.vanan | ||
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Can a company claim input credit on payment of the bill which is not adressed to the registered office of the company. i.e The bill is raised in teh name of some other persons, but the company paid for that amount and also used it as a input service for rendering its out put service. |
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Input credit can not be claimed in the above case.
Ajay Raghatate
(Sr Executive (Excise & Accounts))
(736 Points)
Replied 23 September 2011
Service tax Invoice should be with proper address of Assessee & his name.
If it is not properly mentioned in Invoice, you can correct by the service provider, and take credit.
CA Unnikrishnan Nair N
(Chartered Accountant)
(2083 Points)
Replied 23 September 2011
This may be challenged by department. If you have evidence to prove that it is wrongly addressed , may be allowed at appellate levels.
surender
(Manager Accounts)
(149 Points)
Replied 23 September 2011
Im agree with Mr. Unnikrishanan.
Input credit can not be claimed in the above case.
If you have teken input credit on such bill u must have evidence to prove it was wrongly address at the time of Assessment.
CA Prabhat Gupta
(Manager (Indirect Taxes))
(821 Points)
Replied 23 September 2011
Credit will not be allowed. I also agree with CA Unnikrishnan, Department would difinitely challange it as ineligible document. You will have to give evidence to prove that the invoice was wrongly addressed.
Deena.Vanan
(Grad. CWA, ACA, CS(F))
(120 Points)
Replied 24 September 2011
Thanks for all your replies...
Can anyone please tell me the rule no./ Section no. by applying which you are telling that input credit cannot be availed?
PRADEEP REDDY
(CHARTERED ACCOUNTANT)
(664 Points)
Replied 24 September 2011
invoice must be in the name assesee in order to claim input credit
CA Prabhat Gupta
(Manager (Indirect Taxes))
(821 Points)
Replied 25 September 2011
You can refer to Rule 4A of Service tax Rules, 1994 as amended containing provisions relating to issue of invoices and its contents. Further, you may also refer to Rule 9 (f) of CENVAT Credit Rules, 2004 as amented that provides the details of documents on the basis of which credit can be availed. Both shoul be read together in your case.
CA Prabhat Gupta
(Manager (Indirect Taxes))
(821 Points)
Replied 25 September 2011
You can refer to Rule 4A of Service tax Rules, 1994 as amended containing provisions relating to issue of invoices and its contents. Further, you may also refer to Rule 9 (f) of CENVAT Credit Rules, 2004 as amended that provides the details of documents on the basis of which credit can be availed. Both shoul be read together in your case.
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