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2012 (7) TMI 713 - AT - Service TaxDenial of Cenvat credit - alleged that the job worker-appellant was manufacturing dutiable goods and providing exempted service (chrome plating) and that they had not maintained separate accounts in terms of Rule 6(2) of CENVAT Credit Rules 2004 - Held that:- a) Manufacturer-appellant taking credit on piston rings in coil form and sending the same under Rule 4 (5) (a) for the purpose of chrome plating is in order. - (b) As the activity of chrome plating does not amount to manufacture and no excisable goods emerge, there is no question of exemption from excise duty and, therefore, levy of service tax is attracted on the said activities. - (c) The exemption under Notification No. 8/2005 ST being a conditional exemption subject to fulfillment of obligation by the raw material supplier, the same cannot be thrust on the job worker-appellant. Therefore, payment of service tax by the job worker-appellant is in order. - (d) Job worker-appellant cannot be held to have provided any exempted services attracting the provisions of Rule 6 of CENVAT Credit Rules. - (e) The job worker appellant cannot be held to have had any intention to evade excise duty/service tax. - (f) The credit taken by the manufacturer appellant of the service tax paid by the job worker appellant is in order.
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