2014 (10) TMI 452

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... the ground on which credit denied cannot be sustained. In any case, after going through the invoices, I find that services were received for business promotion and sales promotion of the appellant and therefore, credit of Service Tax paid cannot be denied. Credit of Service Tax paid on this service cannot be denied since reclassification of service is to be considered at the receiving end. What is required to be considered at the receiving end is whether the service was covered by input service under Cenvat Credit Rules or not; and under which category invoices have been issued. In any case, invoices were issued by two Hotels in relation to activities of sales promotion/business of the appellant. Therefore, appellant is eligible for cre .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... lows :- Outdoor Catering Service : An amount of ₹ 2,37,854/- has been denied under this service. The whole amount has been taken under two invoices issued by the Indian Hotels Co. Ltd. and SHRM Food Allied Services Pvt. Ltd. The objection raised by Revenue was that credit was taken under outdoor catering service whereas the services received by appellants could not be classified under that heading. The credit of Service Tax paid on outdoor catering service cannot be denied since reclassification of services is to be considered at the receiving end. Therefore, what is required to be considered at the receiving end is whether Service Tax was paid or not; and whether the services received were covered under the definition of input .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X

..... ,424/- has been denied. Learned Chartered Accountant submits that company conducted a survey to find out about women employees leadership. I do not understand and appreciate on what basis and under which manner this service can be covered by definition of input service . I find this activity undertaken by appellant to understand the position of women in society has nothing to do with the business. This being the case, credit has been correctly denied. 3. As regards penalty, I find that the issue is debatable and interpretation of law and definition of service. Therefore, in my opinion, in this case, penalty is not imposable. 4. The appeal is decided in above terms. (Pronounced and dictated in open Court) - - TaxTMI - TMITax - .....

X X   X X   Extracts   X X   X X

→ Full Text of the Document

X X   X X   Extracts   X X   X X