Dear all,
We are paying 14.5% service tax on outward freight (Goods transport) and also depositing the service tax too.
My question is can we take credit/utilized 14.5% or we may only take a credit of 14% ??? kindly confirm.
manish thakur (Finance) (32 Points)
22 January 2016Dear all,
We are paying 14.5% service tax on outward freight (Goods transport) and also depositing the service tax too.
My question is can we take credit/utilized 14.5% or we may only take a credit of 14% ??? kindly confirm.
Arpit verma
(Indirect tax)
(1372 Points)
Replied 22 January 2016
only 14%, no cenvat is available for payment of SBC.
Nagendra Hegde
(Chartered Accountant)
(1948 Points)
Replied 22 January 2016
If the place of removal is your factory gate (in case of manufacturers) department could dispute on the eligiblity of credit of even that 14% paid on outward freight. Since the input service definition as per Rule 2 (l) covers transportation of goods only upto place of removal.
CMA. CS. Sanjay Gupta
("PROUD TO BE AN INDIAN")
(114225 Points)
Replied 22 January 2016
No input credit will be available on payment of Swachh Bharat Cess. For details check out the attached FAQ on SBC.
ganeshan k
(asst mgr)
(94 Points)
Replied 24 January 2016
Yes, Swachh Bharat Cess has not been amended in CENVATt Credit Rules. Hence no CENVAT credit on SBC.
Landmark Judgments: Important Provisions of the EPF & ESI Act interpreted by the Honorable Supreme Court of India
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