2009 (11) TMI 170 - AT - Service Tax

Outdoor Catering Services- Availment of credit of service tax paid on Outdoor Catering Services provided to the assessees has been objected to by the department resulting in confirmation of demand of Service Tax of on the ground that catering services are not input service together with interest. In the light of the decision of CCE v. GTC Industries Ltd 2008 -TMI - 31592 - CESTAT MUMBAI held that service provided by an Outdoor Caterer is input service set aside the impugned orders and allow the appeals.

Summary

The Appellate Tribunal CESTAT, CHENNAI ruled in favor of the assessee regarding the availment of credit of service tax paid on "Outdoor Catering Services." The department's objection was overruled based on a previous decision by the Larger Bench of the Tribunal, which established that services provided by an Outdoor Caterer are considered input services. The demand for service tax was set aside, and the appeals were allowed.