TMI Blog2018 (10) TMI 87X X X X Extracts X X X X X X X X Extracts X X X X ..... ecipient of taxable service, it is erroneous in not considering him as the service provider for the purpose of utilization of Cenvat credit for payment of service tax under reverse charge mechanism. Under the un-amended provisions of sub-rule (4) of Rule 3 of the Cenvat Credit Rules, 2004 (effective up to 30.06.2012), there were no specific restrictions imposed for utilization of credit for discharging the liability under reverse charge mechanism by the recipient of service. Such restriction was brought w.e.f. 01.07.2012, by amending the provisions of the said rule - In the present case, since the period of dispute is from October' 2008 to September' 2009, the case of the appellant will be governed under the provisions of un-amen ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... utilization Cenvat credit for discharge of the service tax liability in such eventuality, is not proper and justified. It has further been contended that availment of Cenvat credit of such payment is also not in conformity with the statutory provisions. Accordingly, the Department initiated show cause proceedings against the appellant, which culminated into the adjudication order dated 28.11.2014 (for short, the impugned order ), wherein Cenvat credit amounting to ₹ 1,11,63,343/- was disallowed and the appellant was directed to pay interest at appropriate rate. Besides, the impugned order also imposed equal amount of penalty on the appellant. Feeling aggrieved with the impugned order passed by the ld. Commissioner of Central Excise, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ider for the purpose of utilization of Cenvat credit for payment of service tax under reverse charge mechanism. Accordingly, by placing reliance on the earlier decisions of the Tribunal in the case of Kansara Modler Ltd. 2013 (32) STR 209 (Tri.-Delhi) and Tata AIG Life Insurance Co. Ltd. - 2014-TIOL-487-CESTAT-MUM, the Tribunal in the referred case has allowed the appeal in favour of the appellant. Further, this Tribunal, in appellant's another appeal for different period, vide order dated 20.09.2016 (supra), has extended the facility of utilization of Cenvat credit for discharge of service tax liability under reverse charge mechanism. It has also been held that the appellant is eligible to avail the Cenvat credit of service tax a ..... X X X X Extracts X X X X X X X X Extracts X X X X
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