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Sbc & kkc

channabasaiah (Account Assistant) (66 Points)

31 August 2016

Dear Sir, What do??????? all are giving in different different answers.... Some one says u can avail the Credit on KKC not SBC.. Some one says u can avail the Credit on SBC not KKC. Some one says u can avail the Credit on both SBC & KKC. Some one says u can not avail the Credit on both SBC & KKC. what is going on.... i am graduate in B.com. and i following the seniors and the seniors giviing answer like this... ..... Thanking you very much all.... thank you once again..... CTM

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4 Replies

Deepak Gupta (CA Student) (15922 Points)
Replied 31 August 2016

A service provider is allowed to take CENVAT credit of Krishi Kalyan Cess (KKC) on taxable services. CENVAT credit of any other duty is not allowed for payment of KKC. CENVAT credit of KKC paid on input services can be utilized only for payment of KKC on output services.

- Notification no. 28/2016- Central Excise (N.T.), dated 26.05.2016

Swachh Bharat Cess (SBC) is not integrated in the CENVAT Credit Chain. Therefore, credit of SBC cannot be availed. Further, SBC cannot be paid by utilizing credit of any other duty or tax.

- FAQ by CBEC on SBC (Q.14)