There are abatements to construction service, tour operators,caterers,etc. and all have same conditions that no cenvat credit is being taken by the service provider. Here, receiver can take credit even if the service provieder gets abatment.
But when GTA is there, If it gets abatment, service receiver is not eligible to cenvat credit. why
I think this types of 'MIS'clarifications are there, why the Board is shying to release the circular to public. and It should shy. When there is cries for clarification on various issues, earlier DGST said 'abatement not available to consignee-consignor', now this confidential circular.
It seems department is playing cards. so keeping hide all cards. whether valuable or not, not relevant.
If question is - is it inability or lake of interest - Reply should be secone one.
Chauhan Anand N.
Re :GTA alwasy under confusion
Fortunately, the clarifications does not deny cenvat credit of ST on GTA by the service receiver, but just clarifies that, declaration by GTA that no CENVAT has been taken by him on CN will suffice for abatement by service tax payer.