Case Law Details
VITP Private Limited Vs Commissioner of Central Tax (ITAT Hyderabad)
Held that we are inclined to allow the Cenvat Credit of input services for construction of immovable property, which is further let out to various customers.
Facts- The department denied Cenvat Credit on the input services used for the construction of the immovable property and also input services used for promoting their premises for better lease opportunities.
Conclusion- Tribunal in the case of CCE, Coimbatore Vs. Lakshmi Technology & Engineering Indus. Ltd. has held that without construction of the building, the renting of immovable property services, cannot be provided and that therefore, construction service is an eligible service for credit for providing output service of renting of immovable property.
Cenvat Credit on input services used for construction of property which is further let out is allowed.
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