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Recent developments and credit availment by Hotels and Restaurants
Introduction
Cenvat scheme is a beneficent piece of legislation and unless it is shown that the items are specifically excluded from the definitions of the terms “inputs”, “input service” or “capital goods”, Cenvat Credit cannot be denied to a manufacturer of final products or provider of output service.
The cenvat credit cannot be availed on inputs, input services, capital goods which are used to provide exempted services. Rule 2(e) of Cenvat Credit Rules...
Read moreExcise impact on jewellery
Background:-
In the union budget it was announced that jewelry excluding Silver jewellery other than which stubbed with diamonds and precious stones will be liable to excise duty from 01.03.2016. In order to bring the jewelry people in tax bracket, government started imposing excise duty on jewelry. As per the basic understanding, the liability to pay Central Excise duty is on the person who manufactures the goods irrespective whether he has manufactured on his own or has done...
Read moreIndirect Tax Latest Judicial Precedents May 2016
- Service provider can opt to pay service tax on works contract on gross amount and take credit on input/input service (CST.,Vapivs S.V. Jiwani 2016(42) S.T.R. 209 (Bom.)
- Background: Assessee engaged in rendering works contract service, paid service tax on gross amount without availing the option provided under Rule 2A of ST (Determination of Value) Rules, 2006 and taken credit on input/input service. Department alleged that tax needs to be paid under Rule 2A and assessee not...
Time Limits for Filing Refund Claims Under Cenvat Credit Rules- Service Exporter
Finally CBEC by notification 14/2016-CE(NT) has brought out the required clarification as to from which date the period of one year was required to be counted for the purpose of limitation in filing the refund application by the manufacturers exporters and service exporters under Rule 5 of Cenvat Credit Rules.
This issue was more of a concern for the service provider, as notification 27/2012-CE(NT) had referred filing of refund claim before the expiry of the period specified in...
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