2019 (8) TMI 261 - AT - Service Tax

Cash Refund of accumulated CENVAT Credit - denial on account of nexus of input services with output services - HELD THAT - The service tax paid on the input services are admissible to CENVAT Credit and consequently eligible to refund of accumulated CENVAT Credit due to export of the services, except the services viz. Phonographic Performance, Testing of Food Water Sample for Canteen, Video Projection Agency Service, Rent-a-cab Service. Denial of credit on input service invoices which are addressed earlier to their old registered office - HELD THAT - The learned Commissioner (Appeals) has held that credit cannot be denied merely because there has been change in the address, but proceeded further in remanding the matter to the Adjudicating authority - there is no reason in remanding the matter to the Adjudicating authority once the learned Commissioner (Appeals) holds a view that mere change in the address would not dis-entitle the Appellant in availing the credit. Hence, remanding the matter, is not necessary in the present case. Appeal allowed in part.

Summary

Issues involved:
1. Admissibility of CENVAT Credit on various input services for providing output services.
2. Denial of credit on input service invoices due to change in registered office address.

Detailed Analysis:
Issue 1: The appeals were filed against Orders-in-Appeals concerning the admissibility of CENVAT Credit on input services used for providing taxable output services. The Appellants claimed cash refunds for accumulated credit under Rule 5 of CENVAT Credit Rules, 2004. The Commissioner (Appeals) partly allowed the appeals, leading to the present appeals. The Appellant contended that the denied input services were used for providing output services, citing various judgments supporting their claim. The Tribunal analyzed the issue and concluded that the service tax paid on most input services was admissible to CENVAT Credit, except for specific services like Phonographic Performance and Rent-a-cab Service.

Issue 2: Another aspect of the case involved the denial of credit on input service invoices due to a change in the registered office address. The Commissioner (Appeals) held that a change in address should not disqualify the credit availed. However, the matter was remanded to the Adjudicating authority. The Tribunal disagreed with the remand decision, stating that once the Commissioner (Appeals) acknowledged that a change in address should not affect credit eligibility, there was no need for further verification. Consequently, the Tribunal modified the impugned orders, allowing the appeals partially and affirming the admissibility of CENVAT Credit on most input services.

In conclusion, the Tribunal upheld the admissibility of CENVAT Credit on various input services used for providing output services, except for specific services, and rejected the need for remanding the matter due to a change in the registered office address. The appeals were partly allowed based on the detailed analysis and legal precedents cited by the parties.