TMI Blog2015 (12) TMI 489X X X X Extracts X X X X X X X X Extracts X X X X ..... pellate authority has set aside order-in-original which denied the Cenvat Credit of the Central Excise duty paid on all the capital goods which procured by the appellant in the period of 2005-06 to 2008-09. As against such detailed finding, given by the first appellate authority, the revenue ground of appeal is not controverting the findings by any evidence which can be considered for coming with conclusion other than what first appellate authority has arrived at that the cenvat credit on the capital goods is allowable, which were received even when the respondent was not registered as service provider. It is common knowledge that the capital goods are received for installation during the construction activity and the service tax liabil ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ppellant in the period of 2005-06 to 2008-09. I find that the first appellate authority has given following reasoning to hold in favour of the respondent. 8.3 The case before me is simpler. It is not the case of the Department that the appellant was not registered at all. The main ground is that the appellant as registered as service recipient' and got the registration modified as service provider' subsequent to availing credit. There is no allegation that credit was availed without paying the duty on those capital goods. Going into, the circumstances, the stand of the appellant is convincing. I find the appellant were in the process of setting up a hotel which has long gestation period. As explained by them the process inv ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ny point of time in a given financial year shall be taken only for an amount not exceeding fifty percent of the duty paid on such capital goods in the same financial year. b) The balance of CENT/AT credit may be taken in any financial year subsequent to the financial year in which the capital goods were received in the factory of the manufacturer, in the premises of the provider of output service, if the capital goods, other than components, spares and accessories, refractories and refractory materials, moulds and dies and goods falling under heading 6805 grinding wheels and the like, and parts thereof falling under heading 6804 of the First Schedule to the Excise Tariff Act, are in the possession of the manufacturer of final products ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... y the appellant on these issues. 5. As against such detailed finding, given by the first appellate authority, the revenue ground of appeal is not controverting the findings by any evidence which can be considered for coming with conclusion other than what first appellate authority has arrived at that the cenvat credit on the capital goods is allowable, which were received even when the respondent was not registered as service provider. It is common knowledge that the capital goods are received for installation during the construction activity and the service tax liability arises when the hotel starts functioning. 6. In view of the foregoing, I do not find any merits in the appeal filed by the revenue and the same is rejected. ( D ..... X X X X Extracts X X X X X X X X Extracts X X X X
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