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2016 (12) TMI 812 - AT - Service Tax100% EOU and STP - CENVAT credit - denied on account of nexus and lack of documents - Movement of personnel baggage service - Association / Membership Fees - Event Management Service - Manpower Recruitment or Supply Agency Service / Management Consultancy Service - Management, Maintenance or Repair Service - Air Travel Agent s Service - ineligible services - Traffic Control services - Procedural Non-compliance - Difference of credit as per statement submitted and ST-3 filed. Movement of personal baggage service - Held that: - During the employment, employees move from one location of the company to another or to customer site, where movement of their baggage become necessary to render services and therefore all the services are an activity relating to business and is covered under the definition of input service - the appellant is entitled to avail CENVAT credit on movement of personal baggage. Association and Membership Fee - Held that: - the expenses incurred by the company towards Association and Membership charges do not have any nexus with the output service rendered by the assessee as the said service is made available to the Members mainly for the purpose of entertainment, amusement and relaxation - credit not allowed. Event Management service - Held that: - the learned counsel for the appellant submitted that the company has to incur expenses for events such as Technical Day Functions, Value Events, Bosch Annual Day which are organized for the development of employee and which results in betterment of individual performance. In reply to this, the learned AR submitted that impugned order has observed that the company has spent on organizing seminars, social functions, birthday parties, anniversaries and other functions which have no nexus with the output service - In view of the contradictory stand taken by both the parties, I hold that the original authority will verify each service under the category of Event Management before allowing the CENVAT Credit - matter on remand. Credential Verification of employees - Held that: - in order to ensure that the credentials of the employee s background are adequately verified, background check becomes critical and part of the employee recruitment process. In view of this, I hold that this activity is relating to business and is covered under the definition of input service - credit allowed. Air Transport Service - Held that: - the employees of the company have to travel to various places in order to perform the job of the company and it has a direct nexus with regard to output service rendered by the assessee - Air Transport is an input service - appeal allowed. Ineligible services - The learned consultant did not press for this amount as he was unable to justify the same. Similarly the learned consultant did not press for input CENVAT credit on AMC for dish washer and traffic control procedure on account of lack of documents - credit disallowed. Denial of CENVAT credit on account of difference of credit as per statements submitted and the ST-3 returns filed by the assessee - Held that: - I hold that this will be verified by the original authority regarding its correctness and accordingly the original authority will decide as to how much the appellant is entitled to avail CENVAT credit - matter on remand. Appeal partly allowed - matter on remand.
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