2018 (11) TMI 1967 - SCH - Service Tax

Refund of unutilized CENVAT credit - reversing entries and suo motu credit by the assessee in relation to service tax payment - Scope of circular dated 23-8-2007 - case of Revenue is that in view of the circular as well as provisions of law, the assessee cannot be permitted to reverse the entries and in fact should have applied for refund of the amount due to him - as decided by HC 2018 (1) TMI 994 - RAJASTHAN HIGH COURT there is no error committed by the Tribunal while holding that the amount which has already been paid in cash to satisfy the demand of the revenue with respect to the service tax on GTA is fulfilled, there was no question of not reversing the amount paid from their CENVAT credit account. Further, the circular is dated 23-8-2007 and the period in question is March, 2006 to March, 2007, therefore the Tribunal was right in holding that the circular dated 23-8-2007 is having no application. Order passed by the Tribunal is not required to be interfered with as the revenue's demand for payment of service tax on GTA has already been done by the assessee by paying the service tax amount in cash and, therefore, the amount paid from CENVAT credit account was required to be reversed. HELD THAT - The Special Leave Petition is dismissed on the ground of low tax effect, leaving the question of law open.