2015 (8) TMI 109

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..... vs. For the Respondent : Shri G R Singh, DR ORDER Per: R K Singh: Appeal has been filed against Order-in-Appeal No.400/ST/APPL/Noida/2012, dated 26.12.2012, which upheld the Order-in-Original dated 26.06.2012 in terms of which out of their total refund claim of Rs. 2,52,16,002/- claimed under Rule 5 of the CENVAT Credit Rules, 2004 read with Notification No.05/2006-CE (NT), dated 14.03.2006, r .....

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..... nst & Young Pvt. Ltd., Gurgaon in respect of filing of state tax returns of US PE of HCL Comnet Systems and Services. The service provider Ernst & Young Pvt. Ltd. Gurgaon is providing the service from India. The service was provided in USA. The service was utilized for tax compliance in USA in respect of the permanent establishment of the appellant in USA. The service was not utilized in India, no .....

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..... e Taxation Avoidance Treaty (DTAT) with the US they are required to have a permanent establishment in that country and in respect of such establishment certain returns have to be submitted to the US Govt. They engaged the services of M/s. Ernst & Young Pvt. Ltd., Gurgaon for submitting such returns and on the basis of the invoices of M/s. Ernst & Young Pvt. Ltd. which were raised on them (i.e., Ap .....

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..... ax) was actually raised on the appellants and not on the US establishment. Further, the permanent establishment in US is not a legal entity and is merely an office of the appellants. The onus to fulfil the legal requirement relating to that office clearly rests on the appellants and it was in the discharge of that onus that they engaged M/s. Ernst & Young Pvt. Ltd. engaged on the service. The defi .....

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..... f the tax return in the US. The Commissioner held that the service was governed by the definition of "input service". The second related to Legal Consultancy Services which have also been held to fulfil the definition of the expression "input service". Both are admissible." 4. In the light of the foregoing, I am of the view that the impugned Cenvat credit is admissible and as a consequence, the v .....

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