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TMI Blog2024 (12) TMI 466X X X X Extracts X X X X X X X X Extracts X X X X ..... E SHRI RAJEEV TANDON, MEMBER(TECHNICAL) Shri Rajeev Agarwal, Advocate for the Appellant (s) Shri P. Das, Authorized Representative for the Revenue ORDER Per : ASHOK JINDAL : Considering the fact that the issue involved in the matter is squarely covered by the decision of this Tribunal in appellant's own case for the earlier period, therefore, we allow the Miscellaneous Application for early hearing and with the consent of both the sides, the appeals are taken up today for final disposal. In all the appeals, the issue is common, therefore, all are disposed off by a common oder. 2. The Appellant's manufacturing unit is located at Paharpur. They have their corporate office at Mumbai, who are registered as Input Service Distributor. B ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... "12. The summarized allegation in the Show Cause Notice as given in the Order-in-Original is extracted below : - "From the definition of „input service‟, as provided under Rule 2(1) of the CENVAT Credit 2004, it reveals that for a service to be considered as input service for a manufacturer, the said service is required to be used by the manufacturer directly or indirectly in or in relation to the manufacture of final products. In the instant case, it is found that the services, claimed to be input service by the said assessee, have not been received by the Paharpur Unit of the said at assessee and also have not been used in or in to the manufacture of their final products, except the Advertising Agency and Market Research Ag ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... its manufacturing units or units providing output service, subject to the following conditions, namely :- (a) the credit distributed against a document referred to in rule 9 does not exceed the amount of service tax paid thereon, or (b) credit of service tax attributable to service used in a unit exclusively engaged in manufacture of exempted goods or providing of exempted services shall not be distributed." W.e.f. 01.04.2012, the Rule 7 reads as under:- "Rule 7. Manner of distribution of credit by input service distributor. - The input service distributor may distribute the CENVAT credit in respect of the service tax paid on the input service to its manufacturing units or units providing output service, subject to the followin ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... it. On this count itself, the confirmed demand for the period June 2005 to 31.03.2012 stands set aside. 16. Coming to the issue of demand proceedings initiated at Kolkata, admittedly the Cenvat credit on various input services have accrued to the Head Office. They are duly registered as ISD in Mumbai for the Cenvat credit coming to them on account of various input service invoices. For the ISD invoices raised by them towards distribution of such Cenvat credit, they have been filing their ST-3 Returns before their jurisdictional authorities at Mumbai. Therefore, if they have taken the Cenvat credit in respect of any input services which is considered as ineligible, it was for the Mumbai Revenue officials to initiate recovery proceedings a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... held as under:- "7. As the services has been availed at the head office and same is a part of the appellant itself as a manufacturer. Therefore, I hold that appellant has availed the input service credit correctly. Consequently, the impugned order is set aside. Appeal is allowed with consequential relief, if any." "12. In view of the above discussions, as it has not been questioned that ISD has taken inadmissible cenvat credit, in that circumstances, the cenvat credit cannot be recovered from the appellants holding that the appellant has availed inadmissible cenvat credit. In fact, the appellant has availed cenvat credit on the invoices issued by ISD under Rule 7 of the Cenvat Credit Rules, 2004, which is eligible to avail the cenvat ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... stioned on the eligibility of input services. Therefore, we hold that the present proceedings initiated against the Appellant is without jurisdiction. We, therefore, set aside the impugned order and allow the Appeal. Consequently, the Appeal stands allowed on merits. 21. For the period from 01.04.2012 to 31.03.2013, the appellants have claimed that they have taken the credit for the Service Tax paid by the Head Office for the services rendered to their Paharpur unit only. Thus the conditions set w.e.f. 01.04.2012 under Rule 7 of the Cenvat Credit Rules also have been fulfilled. However, without going into the factual details to ascertain this claim of the appellant, since we have already observed above that the proceedings are not sustai ..... X X X X Extracts X X X X X X X X Extracts X X X X
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