TMI Blog2011 (2) TMI 1147X X X X Extracts X X X X X X X X Extracts X X X X ..... s rent a cab service, the same has been used for various activities of the appellants including procurement of inputs and hence the same is covered by the definition of the “input service”, in view of the judgment J.K. Cement Works [2009 (1) TMI 146 - CESTAT NEW DELHI] Service of maintenance and repair and mobile telephone service - Held that:- it is not disputed that the mobile phones are used by the company official for the company work. Hence mobile phone service has to be treated as input service. See ITC Ltd. [2009 (1) TMI 192 - CESTAT, CHENNAI] GTA service - credit was taken at the end of the month, payment to service provider was made for the service tax was paid only on the fifth of the month, the credit could not be taken ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... after the day on which payment is made of the value of input service as is indicated in the invoice, bill or challan as the case may be. In this case, according to the department, the appellant had taken service tax credit prior to this date and hence according to the department they were not eligible for credit on the basis of these invoices in respect of which the payment had not been made to service provider. The Assistant Commissioner vide Order-in-Original dated 30-10-2006 disallowing the credit in respect of inputs service used for repair and maintenance, credit of service tax paid on rent-a-cab service, and mobile phones and also in respect of GTA service where on the date of taking credit, the payment had not been made to the servi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... at mobile phone service are used by the official of the company for the work and hence as held in the case of ITC Ltd. reported in 2009 (14) S.T.R. 847 and also in the case of J.K. Cement Works reported in 2009 (14) S.T.R. 538, the service tax to be paid on mobile phone service would be available to the appellant, that as regards GTA service, the same had been received for procurement of inputs, the credit was taken prior to the date of making payment to service provider, since difference between the date of taking credit and the date of payment of service tax is only five days, that this is only a technical fault which must be ignored in view of the Tribunal s judgment in the case of White En-all (P) Ltd. reported in 2004 (175) E.L.T. 119, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... by Hon ble Chhattisgarh High Court in the case of Ambuja Cement Eastern Ltd. v. CCE (supra), and in these cases Hon ble High Courts have held that the items used for repair and maintenance are eligible for credit. In the case of UOI v. Hindustan Zinc Ltd. (supra), Hon ble Rajasthan High Court has held that MS/SS plates used in workshop meant for repair and maintenance of machinery, which are used for manufacturing are covered by the definition of capital goods and would be eligible for credit. In the case of Ambuja Cement Eastern Ltd. v. CCE (supra), Hon ble Chhattisgarh High Court has held that welding electrodes used in repair/maintenance of plant and machinery are eligible for credit. Similarly, Hon ble Karnataka High Court in the case ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s) denying the credit in respect of rent a cab and maintenance and repair of motor vehicle owned by the company and for hiring vehicles for transportation for procurement of inputs is not sustainable. 9. As regards denial of credit in respect of GTA service amounting to Rs. 65,506/-, the department s objection is that while the credit was taken at the end of the month, payment to service provider was made for the service tax was paid only on the fifth of the month, the credit could not be taken on or before the date on which the service tax has been paid. However, it is not denied that the service tax has been paid and hence there is gap of only five days between the date of taking credit and payment of service tax. Since the lapse is onl ..... X X X X Extracts X X X X X X X X Extracts X X X X
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