2009 (6) TMI 241 - AT - Service Tax

CENVAT credit on outward transportation of final product from the assessee s factory to the buyer s premises - Board s Circular No. 97/8/2007-S.T., dated 23-8-07 - Conditions prescribed for availment of credit in such situation in said circular was found to be retrospective in nature thus, the remand ordered by the lower appellate authority to the original authority cannot be interfered with

Summary

The Appellate Tribunal CESTAT, Mumbai, in the case of Shri P.G. Chacko, Member (J), heard Cross Objection No. E/CO/92/2008. The appellants sought pre-deposit and stay of recovery in relation to the adjudged dues. Since a common issue was present in multiple appeals, the Tribunal decided to dispose of Appeal Nos. E/1249/08 and E/325/09 along with Appeal E/316/08. The Tribunal found that the common issue had already been settled against the Revenue by judgments of the Punjab & Haryana High Court and a Larger Bench decision of the Tribunal. The issue revolved around the allowance of CENVAT credit on outward transportation of final products from the assessee's factory to the buyer's premises. The Tribunal noted that the conditions for availing this credit, as laid down in a circular, were satisfied by the assessee. The Tribunal dismissed the Revenue's appeal and directed the original authority to pass fresh orders of adjudication in line with the High Court's decision. The appeals of the assessees were disposed of with a similar directive to the original authority. The Tribunal's decision was dictated in court.