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2018 (12) TMI 857 - AT - Service TaxUtilization of CENVAT Credit - reverse charge mechanism - Management Consultancy Service provided from outside India and received by them in India - Rule 6(5) of the Cenvat Credit Rules, 2004 - Board’s Circular on Service Tax being F.No.137/203/2007-CX-4 dated 01.10.2007. Held that:- The utilization of credit availed under Rule 6(5) of the Rules shall be allowed in full unless used exclusively for providing exempted services. Further, in cases where the assessee is providing both exempted and taxable output services, there is no restrictions provided by Rule 6(5) of the Cenvat Credit Rules, 2004 for utilization of such credit. The issue is no more res-integra as has been observed in the Tribunal’s decision in the case of CCE vs. V.M. Salgaonkar & Bros. Pvt. Ltd. [2008 (2) TMI 90 - CESTAT MUMBAI], where it was held that it is undisputed that credit availed is on the service as mentioned in Rule 6(5), the credit of the entire/whole amount of service tax has to be allowed. Appeal dismissed - decided against Revenue.
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