TMI Blog2011 (6) TMI 324X X X X Extracts X X X X X X X X Extracts X X X X ..... : Shri R. Thakkar, Chartered Accountant For Respondent : Shri R.S. Srova, JDR Per : Mrs. Archana Wadhwa; After dispensing with the condition of pre-deposit of service tax of Rs. 44,162/-, confirmed against the appellants and interest amount, we proceed to decide the appeal itself with the consent of both the sides, inasmuch as the issue lies in a narrow compass. 2. The facts of the case, in brief, are that the appellants were engaged in the business of providing service namely Rent-a-cab . On scrutiny of ST-3 return filed by the appellants for the period October 2006 to March 2007, it was observed that the appellants have discharged their service tax liabilities after availing abatement of 60% provided under Notificati ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... l before Commissioner (Appeals) and submitted that they had initially availed the wrong modvat credit to the extent of Rs. 759/- but the same stands reversed by them subsequently. As such, it amounts to as if no credit has been availed by the appellants. The said plea of the appellants was not accepted by the Commissioner (Appeals) who rejected the appeal. Hence the present appeal. 4. It is seen that the appellant had reversed the wrongly availed modvat credit along with interest, the same will have the effect as if no credit was availed by the appellants. The law on the above point is very clear and stands settled by various decisions of judicial as also the quasi judicial authorities. For the sake of convenience we may refer to the or ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... a case of the Commissionerate of Service Tax itself in the case of CST, Ahmedabad vs. M/s. Amola Holdings Private Limited. This judgment was given in order No. A/1148/WZB/AHD/09 dated 01.6.2009. This judgment also stands accepted by the Commissionerate and hence I follow the same and hold that reversal or debit of modvat credit in this case of 9595 rupees amounts to non availment of modvat credit and accordingly, the appellant is eligible to the benefit under Notification No. 1/2006. 4. Inasmuch as the appellants have admittedly reversed the credit along with interest, we find that benefit of the notification in question would be available to them. Accordingly, we set-aside the impugned order and allow the appeal with consequential reli ..... X X X X Extracts X X X X X X X X Extracts X X X X
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