9911796707
TMI Blog2013 (8) TMI 258X X X X Extracts X X X X X X X X Extracts X X X X ..... e service and exempted service- there was no question of considering the above services as exempted services – value of the services was equal to 10% of the interest received on these services and this factor will form part of factor ‘K’ in the calculation - Rest 90% of the interest which represents the true interest on money deployed will not enter in factor ‘J’ or ‘K’ while making the calculation for reversal of credit - only such an approach can be consistent with the rule that interest on loans will not form value of such services. Waiver of Pre-deposit - 45lakhs were ordered to be submitted as pre deposit – after such submission rest of the duty to be waived till the final disposal – decided partly in favor of assesse. - ST/645/1 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... [total CENVAT credit taken on input services during the month] named as factor L [total value of output and exempted services provided during the financial year] i.e. (J+K) It is seen that the impugned order talks about provisional reversal based on ratio for the previous financial year as given in rule 6 (3A) (b) (ii) , but the ratio is worked out based on figures for the relevant year as applicable for final reversal under rule 6 (3A) (c) (ii). But this does not result in any major defect in the order because the final figures are to be arrived at anyway. 3. Dispute arose between applicant and Revenue as to what will constitute factors J and K is mainly with regard to the following items, namely, interest received from leasing ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the applicant along with interest and penalties. Aggrieved by the order the applicant has filed an appeal before the Tribunal along with an application for stay for waiver of pre-deposit of dues for admission of appeal, which application is being considered in this proceeding. 7. We have considered identical matter for the earlier period in respect of the same assessee in Appeal No.ST/100/2012. 8. The prima facie views taken while asking for partial pre-deposit in Appeal No.ST/100/2012 were the following; (i) Since there are statutory provisions for collecting tax on leasing services, and hypothecation loans and the applicant is paying tax on such services, these services has to be considered as taxable service. (ii) A service cann ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ratio of J/(J+K) works out to 47% as against 13.88% worked by applicant and 95.17% worked out by Revenue in the impugned order. 11. It is seen that the total credit taken during the period Oct 2010 to Mar 2011 is Rs. 2,41,23,613/- (that is factor L ). So the amount to be reversed based on such calculation is Rs. 11276493/-. It is recorded in para 17 of the order that an amount of Rs. 22,08,638/- is reckoned as amount already reversed by them for the period under dispute following the ratio worked out by the applicant. So the balance amount to be reversed is Rs.9067855/-. 12. Following the precedent order, we propose to call for about 50% of the amount worked out on the basis of prima facie principles as mentioned above. So we order t ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
