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TMI Blog2014 (10) TMI 206X X X X Extracts X X X X X X X X Extracts X X X X ..... that there has to be a nexus between the input and input service and the output and output service. Only in respect of input and input service which go into the manufacture of output or which are used in or in relation to rendering of output service, credit can be taken. This is what Rule 3 of the CENVAT Credit Rules, 2004 stipulates. If there is no nexus between the input and input service and t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... For the Respondent : Shri B S Meena, Addl. Comm (AR) JUDGEMENT Per: P R Chandrasekharan: The appeal and the stay petition are directed against Order-in-Original No. PUN-EXCUS-001-COM-057-13-14 dated 31.03.2014 passed by the Commissioner of Central Excise, Pune I. Vide the impugned order, the ld. Adjudicating authority has confirmed the demand of ₹ 54,44,777/- by denying ut ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tory for discharge of service tax liability of Renting of Immovable Property Service' done at Mumbai. Therefore, a show-cause notice was issued proposing to deny the utilisation of Cenvat credit and for recovery of the same vide notice dated 18.10.2013. 2.2 The matter was adjudicated vide the impugned order and demands were confirmed along with interest and imposition of penalties. It is t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... appellant. The input service on which credit was taken had nothing to do with the construction of property in Mumbai or the renting of said property thereafter. Therefore, the impugned demand is sustainable in law and hence the appellant should be put to terms. 5. We have carefully considered the submissions made by both sides. 6. It is a basic principle of Cenvat credit that there has to b ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... service tax on renting of immovable property at Mumbai is not clearly permissible in law. Therefore, the appellant has not made out a prima facie case for waiver of dues. Accordingly, we direct the appellant to make a pre-deposit of the entire amount of Cenvat credit of ₹ 54,44,777/- wrongly taken and utilised, within a period of eight weeks and report compliance by 20.10.2014. On such compl ..... X X X X Extracts X X X X X X X X Extracts X X X X
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