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2015 (7) TMI 552 - AT - Service TaxCommercial coaching and training service - discharge of service tax only on 80% - Royalty received - Held that:- The authorized representative of Aptech Ltd. is required under the terms of the franchise agreement to disburse the course fee credited into the escrow account between Aptech Ltd. and the appellant, in the proportion agreed to between the parties under the said agreement. Accordingly, the appellant received 80% of the course fee and 20% by Aptech Ltd., as its royalty under the franchise agreement. - Decision in the case of Kunal IT Services Pvt. Ltd. vs. C.C.E., Pune III [2015 (4) TMI 1005 - CESTAT MUMBAI] followed - the appellant therein had correctly remitted service tax on the amount received for rendition of commercial coaching or training services i.e. 80% of the amount paid by students. - Decided in favour of assessee. Disallowance of cenvat credit - Denial of refund claim - Input service was received prior to registration of the appellant as a service provider - Held that:- Decision in the case of mPortal India Wireless Solutions P. Ltd, vs. C.S.T., Bangalore reported as [2011 (9) TMI 450 - KARNATAKA HIGH COURT] followed - registration is not mandatory for the availment of credit. On the basis of this binding authority, the concurrent denial by the authorities below of credit of ₹ 2000/- is also unsustainable and requires to be set aside. - Decided in favour of assessee.
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