cenvat credit on fooding and hotel bill, Service Tax

[sarat sahoo]

Sir

Can cenvat credit be taken on hotel, food bill which was provided by the commercial educational institute to their teachers

Posts / Replies

[Ganeshan Kalyani]

Sir, in my view the Cenvat credit is not eligible as they are not in nexus with the output service provided. However, there are judgments wherein the assesse through advocate establishes the nexus of such welfare activity in manufacturing sector with the production activity. And the authority allows the credit. Anyhow I have not going any case law of this kind in service tax.Thanks.

[KASTURI SETHI]

Not admissible.

[KASTURI SETHI]

For more details go through Notification No.26/12-ST as amended (Serial No.4 along with conditions).