Home Case Index All Cases Service Tax Service Tax + AT Service Tax - 2018 (8) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2018 (8) TMI 903 - AT - Service TaxCENVAT Credit - manufacture of taxable as well as exempt goods - non maintenance of separate records - whether the appellant was required to pay 6% of amount of value of exempted goods cleared by them as they did not maintain separate record for input services? - Held that:- Admittedly the Appellant have not maintained the separate accounts. But Rule 6(3) of Cenvat Credit Rules, 2004 permits the manufacturer or provider of output services, who opted not to maintain separate records, to choose any one of the options provided under the said sub-rule. In this case prima facie it appears that the appellant has opted for option given under Rule 6(3)(ii) of the Cenvat Credit Rules, 2004 and had given the intimation to the department vide communication dated 2.4.2012 and the said letter, which has been produced by the appellant before the adjudicating authority. The preliminary issue raised by the Appellant is very relevant and has a bearing on the matter since the entire case of the department is revolving around not communicating the option by the Appellant to the department as per Rule 6 of Cenvat Credit Rules, 2004 and therefore in the peculiar facts of this case, I allow the Appeal filed by the Appellant by way of remand to the First Appellate Authority with direction to decide the issue, without being influenced by any observation made in this order - appeal allowed by way of remand.
|