service tax claim on GTA, Service Tax

[shanker bansal]

Dear After deposit the service tax on freight inward/outward [on 25% amount] , can we get credit of such service tax amount & can be utilised for payment of excise duty payable.

Posts / Replies

[Pradeep Khatri]

Dear Shanker,

You can avail the CENVAT credit on the the service tax paid on freight Inward and for freight outward up to the place of removal.

Regards,

Pradeep Khatri

 

[shanker bansal]

IN CASE OF FREIGHT OUTWARD >> FOR EXAMPLE  MATERIAL BOOKED THROUGH TRANSPORT  FROM DELHI TO PUNE  AND CUSTOMER LIFT THE MATERIAL FROM PUNE AND OWNERSHIP OF MATERIAL IS ALSO TRFNSFER   FROM PUNE.

IN THIS CASE PLACE OF REMOVAL WOULD BE DELHI OR PUNE.

[Pradeep Khatri]

In this case place of removal will be Pune as the ownership is being transferred pertaining to underlying goods at Pune.

[Surender Gupta]

Since place of removal is Pune, you can take credit of service tax paid on GTA From Delhi to Pune

[Suresh Kumar Agareal]

Yes, you can take Service Tax credit on freight paid inward/outward and utilize the same towards payment of excise duty.

                                                                                                           S.K.Agarwal

[shanker bansal]

is there are any notification regarding service tax on freight outward can be claimed upto the place of removal ?

 

 

[Pradeep Khatri]

Kindly refer Definition of Input Services under Rule 2 (l) of the Cenvat Credit Rule, 2004 as amended times to time. 

"input service" means any service,-
	(i)	used by a provider of taxable service for providing an output service; or
	(ii)	used by the manufacturer, whether directly or indirectly, in or in relation to the manufacture of final products and clearance of final products upto the place of removal,
	and includes services used in relation to setting up, modernization, renovation or repairs of a factory, premises of provider of output service or an office relating to such factory or premises, advertisement or sales promotion, market research, storage upto the place of removal, procurement of inputs, activities relating to business, such as accounting, auditing, financing, recruitment and quality control, coaching and  training, computer networking, credit rating, share registry, and security, inward transportation of inputs or capital goods and outward transportation upto the place of removal;