Cenvat Credit of Service Tax on security

Querist :
Anonymous
(Querist) 13 April 2011
This query is : Resolved
Sir A Manufacturing Excisable firm pays charges for security service on which it deduct TDS as well. The Security firm charges Service Tax from the concerned firm. Plz let me know if ST Credit can be taken under Excise Laws ?
R.Ramachandran
(Expert) 13 April 2011
If the company manufactures only dutiable goods then the cenvat credit of the entire amount of service tax paid on the security services can be availed. If the unit is manufacturing both dutiable and exempted goods, then only proportionate credit of the service tax paid can be availed.