Finance Bill 2016
Abatement in case of Transport of Goods by Rail
(Applicable w.e.f. 01.04.2016)
Prior to 01.04.2016, Notification No. 26/2012-Service Tax dated 20.06.2012 provides abatement of 70% on transportation of goods by rail services with the condition that no CENVAT Credit should be availed in respect of input, input services and capital goods.
However, now two different rate of abatement is provided for two situations with availability of CENVAT Credit on input services.
Summary of same is as under: