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Q. > Please Help: Availing Service Tax Input Credit
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825 views • Question added Dec 10, 2011 • Service Tax • By AKHIL MAHESHWARI ,CA, CMA-US, MBA Finance, S.IAI, B.Com, CS Prof. , Bhilwara


If we incur certain expenses which were wholly reimbursed by the other company which is a foreign company, can we avail service tax input on such expenses. But such expenses wont hit P & L since, its being an exact reimbursement. Pls reply me with Notifications/case laws as applicable.

1 Answers

answered Dec 12, 2011 by PRIYANKA , GREATER NOIDA

No, You will not be able to take the input credit of service tax paid for certain expenses, which are getting reimbursed, as this way its not u who is incurring the expense, but the company who is reimbursing u is incurring it. u get input credit of service tax on the expenses incurred by you which are directly or indirectly related to the provision of output service by you. But here, the expense is not being incurred by you. As far as notification or case law is concerned, will definitely tell u when i will get the same.


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AKHIL MAHESHWARI

14-Dec-2011 , 10:07:23 pm

Thanks a lot priyanka ji, I am heartily grateful to you, but concerning the notifications or case law, please tell me ASAP, and if any1 else have the solution, please provide me urgently..... Thnx for your anticipation....

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