TMI Blog2011 (7) TMI 299X X X X Extracts X X X X X X X X Extracts X X X X ..... - E/1629/10 & E/1059/10 - A/1323-1324/2011-WZB/AHD - Dated:- 22-7-2011 - Hon ble Mr. B.S.V. Murthy, Member (Technical) Appellant : Shri J.C. Patel, Adv Respondent : Shri S.K. Mall, SDR Per: Mr. B.S.V. Murthy: Appellants are challenging the demand for service tax credit taken by them amounting to Rs.4,14,321/- on commission agent service received by them, interest thereon and the penalty imposed. 2. Appellant is clearing their finished excisable goods on payment of central excise duty on transaction value. The Revenue entertained a view that the cenvat credit availed by them of the service tax paid and commission paid towards services received from selling agents during the period from December 2008 to 09.09.2009 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s are getting commission on account of different types of discounts which are claimed as deductions by the appellant while paying duty of excise. Therefore he submits that the impugned order has to be upheld since appellants are claiming credit of service tax on discounts and not on commissions. Further he also submits that such services do not have any nexus with the manufacture and manufacturing activity and therefore the credit is not admissible. He relies on the decisions in the Tribunal in the case of CCE Mumbai Vs. GTC Industries Ltd. reported in 2008 (12) STR 468 (Tri.-LB) and Chemplast Sanmar Ltd. Vs. CCE Salem reported in 2010 (250) ELT 46 (Tri.-Chennai). 5. I have considered the submissions made by both the sides. In the imp ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... als) reached the conclusion that the commission was nothing but the discount passed on to the dealers and it had been deducted from the transaction value and claimed as a deduction. In view of the fact that the show cause notice does not make such a statement of fact and the ground for raising the demand in the show cause notice was totally different and also in view of the clear submissions in the appeal memorandum of the appellants, this observation of Commissioner (Appeals) cannot be considered as a ground for confirmation of the demand. 6. As regards the ground taken by the Revenue in the show cause notice, the decisions of the Hon ble High Court of Mumbai in the case of Coca Cola India Pvt. Ltd. and Ultratech Cement Pvt. Ltd. are ..... X X X X Extracts X X X X X X X X Extracts X X X X
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