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TMI Blog2014 (12) TMI 876X X X X Extracts X X X X X X X X Extracts X X X X ..... establish that though the assessee was liable to pay service tax on G.T.A. Service, it could have utilized Cenvat credit for the purpose of paying such duty. In view of the decisions of Punjab and Haryana High Court and Delhi High Court noted [2010 (5) TMI 608 - PUNJAB AND HARYANA HIGH COURT], we do not find any error in the view of the Tribunal - Decided against Revenue. - TAX APPEAL NO. 1271 of 2014 - - - Dated:- 18-12-2014 - MR. AKIL KURESHI AND MR. VIPUL M. PANCHOLI, JJ. MR RJ OZA, ADVOCATE FOR THE APPELLANT ORAL ORDER (PER : HONOURABLE MR.JUSTICE AKIL KURESHI) Revenue is in appeal against the judgment of Customs, Excise and Service Tax Appellate Tribunal, (`CESTAT for short) West Zonal Bench at Ahmedabad date ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... bunal also placed reliance on the decisions of other High Courts, including in the case of Commissioner of Sales Tax Vs. Hero Honda Motors Ltd. reported in 2013 (29) STR 358. The Tribunal held and observed as under: 4. In the above decisions, the Hon ble High Courts have held that there is no bar for payment of service tax from the CENVAT Account and there is no legal restrication for utilization of CENVAT credit for the purpose of payment of service tax on GTA services. The Hon ble High Court of Punjab Haryana, in the case of Nahar Industrial Enterprises Limited (Supra), held as under:- 7. Learned counsel for the revenue has contended that the respondents cannot pay the service tax from the Cenvat ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... le 3(4)(e) of Cenvat Credit Rules, 2004. The view of the High Court is that the said Rule allowed utilization of Cenvat credit for payment of service tax of any output service. This would also include the GTA service. 6. The view of the Punjab and Haryana High Court in the case of M/s. Nahar Industrial Enterprises Ltd. (supra) was taken into account by the Delhi High Court in the case of Hero Honda Motors Ltd. (supra). While pursing the same line, Delhi High Court also placed heavy reliance on Section 68 of the Finance Act, 1994, and in particular sub-section (2) thereof. Sub-section (2) of Section 68 of the Finance Act, 1994, provides that every person providing taxable service to any person shall pay service tax at the rate specified i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nee of goods is any company established by or under the Companies Act, 1956. By virtue of this Notification, in terms of sub-section (2) of Section 68, therefore, the liability to pay service tax was thus shifted on the present assessee, i.e. service recipient instead of service provider in exception to the general rule provided under sub-section (1) of Section 68. 8. Rule 3 of the Cenvat Credit Rules, 2004 pertains to Cenvat credit. Sub-rule (1) thereof allows the manufacturer or purchaser of final products or provider of output service to take credit of Cenvat of various duties specified therein. Sub-rule (4) of Rule 3 of the said Rules provides that the Cenvat credit may be utilized for payment of various duties specified in clauses ( ..... X X X X Extracts X X X X X X X X Extracts X X X X
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