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2020 (6) TMI 62 - AT - Service TaxCENVAT Credit - input services - commercial construction services - club membership fee - maintenance charges - Output services provided is of Renting of Immovable Property Services - period June, 2007 to September, 2008. Commercial Construction Services - HELD THAT:- Admittedly, the premises for which commercial construction services were received were let out by the appellant for providing the services of renting of immovable property. These admissions clarify had there been no constructed building there would have been no possibility for any service of being rented out to be provided by the Appellant. Thus, it becomes clear that the services of commercial construction as were received by the appellant for providing the output service have a direct nexus to each other. In fact, in view of above definition such services fall under the inclusive part of the definition of input services - the appellant for whom the said commercial construction services is already been held to be an input service, he is held to have committed no error while taking the Cenvat credit of the payment made towards such service. Club Membership service and the Cenvat credit availed on the fee paid for the same - HELD THAT:- It was the appellant's burden to prove that this was also the service which was required for enabling them to render the output service of renting of immovable property. It is observed that except for the mention that club was used as a place to have contact with the people of standing there is no other submission of the appellant to justify the service to the input service - no nexus has been established between the availment of Club Membership and the output service of of the appellant i.e. Renting of Immovable Property - credit cannot be allowed. Maintenance and Repair Services - HELD THAT:- Perusal of the order of the adjudicating authority below shows that the Cenvat credit on Maintenance and Repair Services has been denied for want of nexus of the said services to the output service provided by the Appellant. In absence of the said Bill but in view of the acknowledgement that the Maintenance and Repair Services were received for the premises which have been rented out by the Appellant and also that the Bill is for the date when the entry became taxable, the Maintenance and Repair Services are also clearly inclusive in the definition of input services and the appellant has rightly availed the Cenvat credit thereof. Time Limitation - HELD THAT:- It becomes clear that there is no wilful suppression on behalf of the appellant as is alleged. It stands clear that the show cause notice since being issued beyond a delay of three years - demand is barred by time - Consequent thereto irrespective that the club membership fee is held to not to be an input service to avail the Cenvat credit by the appellant but the said demand also stands set aside being show cause notice being barred by time. Appeal allowed - decided in favor of appellant.
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