Home Case Index All Cases Service Tax Service Tax + AT Service Tax - 2015 (2) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2015 (2) TMI 755 - AT - Service TaxPayment of service tax by utilising Cenvat credit- Commission paid to the foreign commission agent- Held that:- I find that to determine eligibility to pay duty from the CENVAT Credit account, the Rules namely Rule 2(r), (2)(p) and 2(q) of Cenvat Credit Rules, 2004 need to be considered read with Rule 2(1)(d)(iv) of the Service Tax Rules, 1994. Rule 2(1)(d)(iv) states that in relation to any taxable service provided from any country other than India and received by any person in India under Section 66A of the Act, the recipient of the service is liable to pay service tax. Rule 2 (p) states that the output service is a taxable service provided by the provider of taxable service. The provider of taxable service is defined under Rule 2(r) to include a person who is liable to pay service tax. The person liable for paying service tax has the meaning assigned to defined in Rule 2(1)(d) of the Service Tax Rules. In the present case the person liable to pay tax is the recipient. A harmonious reading of the above provisions of law indicate that the recipient of the service in this case is a provider and therefore the plea of the Revenue that the appellant is not a output service provider is not correct. The same views were taken in the case of Tata AIG Life Insureance Co. Ltd. [2014 (4) TMI 637 - CESTAT MUMBAI] and Kansara Modler Ltd. [2014 (1) TMI 1095 - CESTAT NEW DELHI]. Decided in favour of appellant.
|