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TMI Blog2013 (2) TMI 538X X X X Extracts X X X X X X X X Extracts X X X X ..... arily in cash - in favour of assessee. X X X X Extracts X X X X X X X X Extracts X X X X ..... e appellant and upheld the demand confirmed by the adjudicating authority. 5. Learned counsel would bring to my notice that the period involved in this case is April 2006 to March 2007 and the issue is regarding utilization of Cenvat credit for discharging the service tax liability on the GTA services as recipient of the services. He would submit that the various judgments as indicated below are applicable:- (a) Auro Spinning Mills 2012 (279) ELT 349 (H.P.) (b) Shree Rajasthan Syntex Limited 2011 (24) STR 670 (Tri. Del.) (c) Indian Acrylic Limited 2012 (285) ELT 354 (Tri. Del.) 6. Learned departmental representative, on the other hand would submit that the definition of output service was amended from 19.4.2006 in order to hold that ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... as observed that though the services received by them is deemed to be an output services but as the Cenvat Credit on inputs or input services was not available to them as no manufacturing activity was being undertaken or any output services was being provided, the question of paying of Service Tax through Cenvat Credit account does not arise. In other words, the Bench observed that M/s. ITC was not entitled to avail any Cenvat Credit and as such there can be no account of any credit for utilisation towards payment of duty on the GTA services so received by them. 6. As discussed above, for the period prior to issue of Notification 10/2008-C.E. (N.T.), dated 1-3-2008 the issue stands finally decided in favour of the appellant by various judg ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the revenue has contended that the respondents cannot pay the service tax from the Cenvat credit availed by them. But this argument has no force because a perusal of para 2.4.2 of CBEC s Excise Manual of Supplementary Instructions shows that there is no legal bar to the utilization of Cenvat credit for the purpose of payment of service tax on the GTA services. Apart from the above, even as per Rule 3(4)(e) of the Cenvat Credit Rules, 2004 the Cenvat credit may be utilized for payment of service tax on any output service. In the present case also, the service tax was paid out of the Cenvat credit on GTA services and hence the respondents were well within their right to utilize the Cenvat credit for the purpose of payment of service tax. Th ..... X X X X Extracts X X X X X X X X Extracts X X X X
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