2012 (9) TMI 866 - AT - Central Excise

CENVAT CRedit - as per Rule 4A(2) of the Service Tax Rules 1994 the name address and registration number of the person providing input service and the serial number and date of invoice bill or as the case may be challan issued under sub-rule (1) were not mentioned in the invoices of input service distributor - Held that - during the course of adjudication the respondents have provided all such details as annexure to the invoice before the adjudicating authority. As the whole record of annexure is very bulky same was not filed along with the returns filed by the respondents. But in future the respondent has undertaken that along with invoice of input service distributor they will file annexure showing details of registration number of input service provider etc. as required under Rule 4A (2) of Service Tax Rules 1994 - No infirmity in impugned order - Decided against Revenue.

Summary

Issues:
1. Allowance of input service credit based on invoices issued by the input service distributor.
2. Compliance with Rule 4A(2) of the Service Tax Rules, 1994 regarding details on invoices of input service distributor.

Analysis:
Issue 1: The main contention in the appeal was the allowance of input service credit based on invoices issued by the input service distributor. The Revenue argued that the invoices did not comply with Rule 4A(2) of the Service Tax Rules, 1994, as they lacked essential details such as the name, address, and registration number of the person providing input service. The appellate tribunal considered both sides' submissions and noted that the respondents had provided all necessary details as an annexure to the invoice during adjudication. Although the annexure was not initially filed with the returns, the respondents assured that they would include it in the future along with the input service distributor's invoice. The tribunal found no fault in the impugned order based on these observations.

Issue 2: The crux of the matter revolved around the compliance with Rule 4A(2) of the Service Tax Rules, 1994 concerning the information required on invoices of input service distributor. The tribunal upheld the impugned order, rejecting the Revenue's appeal. However, it directed the respondents to ensure that all necessary details, as mandated by Rule 4A(2), are provided along with the input service distributor's invoice in the future. The tribunal emphasized the importance of adhering to the rules and granted the appellant the liberty to verify the correctness of the credit claimed by the respondents.

In conclusion, the appellate tribunal dismissed the Revenue's appeal, upholding the allowance of input service credit based on the invoices issued by the input service distributor. The tribunal highlighted the significance of complying with Rule 4A(2) of the Service Tax Rules, 1994 and directed the respondents to include all requisite details in their invoices moving forward. The judgment serves as a reminder of the importance of strict adherence to regulatory requirements in claiming tax credits.