Just a moment...

Report
FeedbackReport
×

By creating an account you can:

Logo TaxTMI
>
Feedback/Report an Error
Email :
Please provide your email address so we can follow up on your feedback.
Category :
Description :
Min 15 characters0/2000
Add to...
You have not created any category. Kindly create one to bookmark this item!
Create New Category
Hide
Title :
Description :
+ Post a Query
Post a New Query
Title :
0/200 char
Description :
Max 0 char
Category :
Delete Reply

Are you sure you want to delete your reply beginning with '' ?

Delete Issue

Are you sure you want to delete your Issue titled: '' ?

Discussion Forum

Back

All Issues

Advanced Search
Reset Filters
Search By:
Search by Text :
Press 'Enter' to add multiple search terms
Select Date:
FromTo
Category :
OR
Search by Issue ID:
NOTE: If you have inputs in both the fields, then results will be shown for issueId first.
Issue ID : 1703
- 0 -

Cenvat credit of the amount paid to caterer

Date 12 Jan 2010
Replies2 Answers
Views 1450 Views
Asked By

my company has engaged a caterer for serving meal/snacks to our employee from 01.04.05 till date .till 31.03.2007 caterer did not take service tax registration no. and did not pay service tax to department on sum received from our company. from 01.04.2008 caterer discharged his liability of service tax after getting service tax registration no. now caterer has received a demand of Rs. 7 lacs and caterer has written a letter to our company for reimbersment of the same as he had not claimed service tax earlier in his bill. now i want to know 1)can we take cenvat credit of the amount if we paid to caterer even if he was not registered with service tax department during provision of service to our company and not eligible for claiming service tax from our company

2 answers
Sort by

Old Query - New Comments are closed.

Hide
- 0
Replied on Jan 15, 2010
1. The issue is a controversial once and judicial pronouncements on this issue are yet to settle this issue. But, in the meantime, if you look into the provisions of the cenvat credit rules, 2004, there is no restriction under any provision regarding availing not non availing of service tax paid by the service tax provider after detection by the department. Therefore, in my view, you may avail the cenvat credit on the basis of bill of the service provider stating the details of previous bills and service tax thereon. You may also enter into some safeguard agreement with your service provider in case credit is denied by the department.
- 0
Replied on Mar 1, 2010
2. No worries. Go ahead and avail and utilise CENVAT credit for period prior to registration for tax paid (but no credit for interest or penalty for late payment). Payment of tax vets you with an inherent right to claim credit of such tax paid.

Old Query - New Comments are closed.

Hide
Recent Issues