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2018 (8) TMI 691 - AT - Service TaxCENVAT Credit - common input services used in trading activity - Department is of the view that the appellant have wrongly utilised Cenvat Credit of input services pertaining to services used in trading of automobile cars - Rule 6 (3a) of Cenvat Credit Rules, 2004. Held that:- It is a matter of record that the appellant has been engaged in trading of automobile cars along with servicing of the cars and other automobile from the same premises and they have availed Cenvat Credit of various common input services which has been utilised towards both taxable services as well as for trading activity - trading activity abinitio cannot be considered as a “service” because the trading in the cars only involves transfer of property on financial consideration from the appellant dealer to various buyers of automobile cars. The Cenvat Credit facility of input services is only available to the output services rendered by any assessee and thus the Cenvat Credit of input services used in Trading activity is not allowable as per Cenvat Credit Rules, 2004. The appellant are not entitled for Cenvat Credit of common input services taken for trading of cars - Appeal dismissed - decided against appellant.
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