Home Case Index All Cases Service Tax Service Tax + AT Service Tax - 2016 (5) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2016 (5) TMI 942 - AT - Service TaxEntitlement of Cenvat credit and consequential refund - Rule 5 of Cenvat Credit Rules, 2004 - Works Contract Services and short term accomodation service - maintenance of office equipment and building - Works contract services are excluded from the definition of input service under Rule 2(l) ibid and accommodation is for employees of the company - Held that:- it is clear that Works Contract Services are excluded only when it is used for construction service, whereas in the present case input services were used for maintenance of office equipment and building therefore, this particular works contract service does not fall under the exclusion category in the definition of input service, therefore works contract service in the present case is input service and eligible of refund under Rule 5. As regard the service of short term accommodation and works contract service, since the appellant has withdrawn the claim of refund on this, the rejection of refund on services of short term accommodation and service involved in the said invoice of M/s. Benchmark Engineering Pvt Ltd stand upheld. Entitlement for interest on delayed sanctioned of refund claim - Held that:- if there is delay beyond three months from the filing of refund, the department is duty bound to grant the interest for the delayed period in sanctioning the refund. The sanction of refund is as per the prescribed rate of interest under Section 11BB of the Central Excise Act supported by the judgment of Supreme Court judgment of Commissioner of Central Excise Vs. Reliance Industries Ltd. [2011 (7) TMI 1141 - SUPREME COURT]. It is found that there is absolutely no reason for not granting the interest on the delayed sanction of refund claim. I therefore direct that appellant shall be granted interest under Section 11BB. - Decided partly in favour of appellant
|