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2011 (7) TMI 909 - AT - Service TaxCenvat credit - Input service distributor (ISD) - the credit in relation to the 5 invoices has been disallowed essentially on two grounds. Firstly, on the ground that the invoices were found issued in the name of Evergreem Autocomp India Pvt. Ltd. and secondly, on the ground that they were issued prior to the registration of the appellant company with the Excise Department. - held that:- Once it was clearly established that, apart from the fact that the company being the same was not in dispute and, that merely the name of M/s Evergreen Autocomp India Pvt. Ltd was changed to M/s Showa India (P) Ltd., the appellants herein, it was not permissible for the authorities to disallow. Regarding cenvat credit prior to registration - held that:- in order to enable the party to avail cenvat credit in relation to service tax paid on service inputs, obviously , a person has to get registered in terms of the provisions of the Finance Act read with Rules framed thereunder. Therefore, it is abundantly clear that the expression 'commencing of business' would apply from the time the party seeks to pay service tax and avail credit in respect thereof in terms of the provisions of law. The term 'commencing of business' in Rule 3 therefore, cannot be understood in the manner whereby it will apply only to the cases where the actual manufacturing process would start. It would commence from the time the preparation commences for the establishment of manufacturing unit as the party is entitled to avail credit even prior to actual commencement of production. Benefit of cenvat credit denied - decided against the assessee.
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