2009 (2) TMI 361 - AT - Service Tax

Cenvat Credit- GTA Services- Whether the appellant are entitled to the credit on service tax paid on GTA services rendered by them? The contention of the department is that the service provider has not declared on the consignment notes/invoices that they have availed cenvat credit on the inputs/capital goods. Held that - in view of the facts and precedent decisions of the Tribunal that, by getting the declaration subsequently, substantial requirement of the notification is fulfilled. We feel that there was no need for the Commissioner to require the appellants to make any pre-deposit. Accordingly, the stay applications filed by the appellants are allowed. The impugned order is set aside and the matter is remanded back to the Commissioner (Appeals) to decide the appeals on merits.

Summary

The Appellate Tribunal CESTAT, Ahmedabad allowed the stay applications filed by the appellants in a case involving credit on service tax paid on GTA services. The Commissioner (Appeals) had rejected the appeal for non-deposit of the ordered amount, but the Tribunal found that obtaining a declaration from transporters subsequently fulfilled the requirement. The impugned order was set aside, and the matter was remanded back for a decision on merits.