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2014 (4) TMI 1068 - AT - Service TaxWaiver of pre deposit - Utilization of CENVAT Credit - input services utilised for manufacture of mobile handsets - Held that:- Lexicographic meaning that indicate that both “Duty” and “tax” fall within the generic ambit of taxes, would not aid in the interpretation of the provisions of Rule 3(4) of the Cenvat Credit Rules, 2004. We notice that the several taxes and duties enumerated in Rule 3(1), are the duties/taxes of which credit could be availed, by an assessee for remittance of Central Excise duty or Service Tax as the case may be, for manufacture of goods or for rendition of taxable services. The provisions of Rule 3(4), appear to indicate a distinction between duties of excise and tax on services. This is so in view of the relevant provisions emplying both the words “duty” and “tax” distinctly. - what is prohibited for remittance of NCCD is credit of any duty specified in sub-rule (1) except NCCD and that would mean duties of excise but not service tax leviable and exigible under the provisions of the Finance Act, 1994. On this analyses the impugned order is prima facie unsustainable. We therefore grant waiver of pre-deposit in full and stay all further proceedings for realisation of the assessed liability, pending disposal of the appeal - Stay granted.
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