Input tax credit from associated enterprises

Sreejith S (Manager-Finance) (95 Points)

05 August 2011  

Company "A" has an associated enterprises named Company "B".  Share holding pattern of Company B is as below

50% - holding by Company A

25% - holding by Director 1 of Company A

25% - holding by Director 2 of Company A

Both companies are billing each other for various services.  Can Company A take input tax credit from the invoice of Company B and viceversa?  Pls clarify


Thanks

Sreejith