Home Case Index All Cases Service Tax Service Tax + AT Service Tax - 2014 (7) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2014 (7) TMI 541 - CESTAT AHMEDABADUtilisation of cenvat credit for payment of service tax on GTA services - reverse charge - The appellants are availing the services of goods transport agency - period 01.01.2005 to 30.09.2005 and 01.10.2007 to 29.02.2008 - Held that:- assessee, a manufacturing unit paying Service tax on goods transport services, fall within the definition of ‘provider of taxable service’ under Rule 2(r) of Cenvat Credit Rules, 2004 which includes a person liable for paying Service tax. As such, it was held that payment of Service tax in respect of services rendered by Goods Transport Agency through Cenvat Credit was appropriate - Cenvat credit can be utilised towards payment of Service Tax in respect of services received from Goods Transport Agency inasmuch as by a deemed fiction of law service recipient is held to be output service provider - payment of service tax liability of GTA service by appellants through CENVAT Credit is as per law. As, there is no demand of service tax against the appellants, the penalties imposed on them under Section 76 & 77 of the Finance Act, 1994, and under Rule 15(3) of the CENVAT Credit Rules, 2004 are set aside - Following decision of Shree Rajasthan Syntex Limited Vs. Commissioner of Central Excise, Jaipur [2011 (8) TMI 265 - CESTAT, NEW DELHI] - Decided in favour of assessee.
|