Chit Remains
BY Notification No 8/2015 ST dated 01.03.2015, the following entry in the Notification No 26/2012 ST dated 20.06.2012 is omitted:
8 | Services provided in relation to chit | 70 | CENVAT credit on inputs, capital goods and input services, used for providing the taxable service, has not been taken under the provisions of the CENVAT Credit Rules, 2004. |
But, they forgot to omit this part of the Notification:
2. For the purposes of this notification, unless the context otherwise requires,-
a. "chit" means a transaction whether called chit, chit fund, chitty, kuri, or by whatever name by or under which a person enters into an agreement with a specified number of persons that every one of them shall subscribe a certain sum of money (or a certain quantity of grain instead) by way of periodical installments over a definite period and that each subscriber shall, in his turn, as determined by lot or by auction or by tender or in such other manner as may be specified in the chit agreement, be entitled to a prize amount..