2009 (9) TMI 299 - AT - Service Tax

Cenvat Credit- output services- whether a manufacturer can utilize credit taken on service tax paid towards receipt of inputs in its factory for payment of service tax on services availed for removal of final product from factory? In the light of the various decisions held that the appellant can avail the cenvat credit, set aside the impugned order and allow the appeal.

Summary

The Appellate Tribunal CESTAT, Chennai ruled in favor of the assessee, allowing them to use credit taken on service tax paid towards inputs for payment of service tax on final product removal. The decision was based on previous rulings supporting the assessee's position. The impugned order confirming the service tax demand was set aside, and the appeal was allowed.