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2014 (10) TMI 562 - AT - Service TaxCenvat credit of Service Tax paid - Receipt of payment for sales promotion activity - overriding commission to be treated as expenditure incurred after the removal of the goods from the factory - Held that:- LPG stoves manufactured by the appellant are sold through the dealers of Indane gas of Indian Oil Corporation Ltd. for permitting the appellant to sell the stoves through the Indian Oil Corporation dealers of LPG gas and for allowing the appellant to put the logo ‘indane’ and logo of the appellant on the stove as well as on publicity material and for stating that LPG stoves are recommended by Indane, the appellants have paid some consideration and the receiver has discharged the Service Tax obligation treating it as Business Auxiliary Service. Memorandum of Understanding is very clear and clearly shows that what is undertaken by Indian Oil Corporation Ltd. is in reality a sales promotion activity and therefore appellant has made out a prima facie case for eligibility of Cenvat credit availed by them. Accordingly there shall be complete waiver of pre-deposit and stay against recovery during the pendency of appeal - Stay granted.
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