TMI Blog2017 (7) TMI 724X X X X Extracts X X X X X X X X Extracts X X X X ..... t violated. The availment of cenvat credit in respect of input, input service or capital goods by the appellant only in relation to the manufacturing activity will not debar them from availing the exemption notification No. 06/2005-ST for their service of renting of immoveable property. The excisable activity in the manufacturing unit and the service related to renting of immoveable property are two distinct activities and therefore the availment of cenvat credit in relation to manufacturing activity cannot be applied to their service of renting of immoveable property. The appellant is not liable to pay any service tax - appeal allowed - decided in favor of appellant. - ST/87614/13 - A/88261/17/STB - Dated:- 7-7-2017 - Shri Ramesh ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... vat credit taken as a violation of the notification No. 06/2005-ST. dt. 1.3.2005. The value of the rent in the years 2007-08 was ₹ 4,00,000/- and in the years 2008-09 ₹ 3,74,949/- this receipt of rent is well within the exemption limit of ₹ 8,00,000/- in each financial year therefore it is exempted under Notification No.06/2005-ST dt.1.3.2005. 3. Shri A.B. Kulgod, Ld. Assistant Commissioner (A.R.) appearing on behalf of the Revenue reiterates the findings of the impugned order. 4. We have carefully considered submissions made by both the sides. The issue involved in the present case is that in the circumstances when the appellant have leased out a part of the open space of the factory, whether such renting of immovea ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d if the cenvat credit availed on capital goods received in the premises of provider of such taxable service. In the present case, the premises which was rented out the appellant is provider of service only to that premises. In that premises no capital goods was received and used on which the credit was taken. Therefore the condition (iii) of para 2 of the notification does not get violated. As per the condition (iv) as reproduced above, the said condition is related to the situation when the service provider starts paying service tax and availed the cenvat credit on the input or input service received and used for provision of taxable services. In the present case for renting of immoveable property, the appellant have not received any inpu ..... X X X X Extracts X X X X X X X X Extracts X X X X
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