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2016 (11) TMI 192 - AT - Service TaxDenial of benefit of N/N. 32/2004-ST dated 3.12.2004 by which 75% abatement from the gross value of GTA service has been provided - GTA service - reverse charge mechanism - Held that: - the appellant is discharging service tax on reverse charge basis as a recipient of service. Firstly, the condition if any imposed on goods transport agency cannot be practically complied with by the recipient of service. Secondly, the department could not prove that the goods transport agency has availed the benefit of cenvat credit and Notification 12/2003-ST. The Notification does not provide any condition that any declaration as sought by the department is required to be obtained from the goods transport agency and produce to the department in order to avail the Exemption Notification. Therefore, the Board circular which prescribes the procedure for obtaining the declaration, is not flowing from the Notification. In our view, the Board cannot prescribe any condition or procedure for availing any Exemption Notification. If at all any procedure is required, it should be part and parcel of the Notification, which is not the case here. The appellant had provided a declaration from the goods transport agency on their letterhead. It is very surprising to note that the lower authority has discarded the said certificate merely on the ground that the declaration was obtained on the letterhead and not on each consignment note. Once a transport agency gives the declaration that they are not availing the cenvat credit, that means they are not availing cenvat credit in all the transactions. Therefore, individual consignment need not bear such declaration. As per the above position, we are of the considered view that the ground on which the Exemption Notification was denied to the appellant is absolutely incorrect - Exemption Notification cannot be denied - appeal allowed - decided in favor of appellant.
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