cenvat on bus service, Service Tax

[sarat sahoo]

Sir

Cenvat credit can be allowed on bus service,renting of bus to carry student by a commercial institute or not

Posts / Replies

[KASTURI SETHI]

If you want to avail abatement, Cenvat Credit is not admissible in terms of notification no.26/12-ST dated 20.6.12 as amended from time to time. ( See Serial No.9 of Notification).

Also go through Notification No.30/12-ST dated 20.6.12 as amended for partial RCM ( See Serial No.7(a) and 7(b) of Notification).

[Ganeshan Kalyani]

Sir, also refer Cenvat credit rules. I agree with Sri Kasturi Sir's reply. Thanks.

[Rajagopalan Ranganathan]

Sir,

According to rule 2 (l) (B) of Cenvat Credit Rules, 2004 " services provided by way of renting of a motor vehicle], in so far as they relate to a motor vehicle which is not a capital goods" is not 'input service'. Hence you are not eligible for credit of service tax paid on renting og bus to carry students.

[KASTURI SETHI]

I agree with the condition explained by Sh.Ranganathan, Sir..