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TMI Blog2017 (4) TMI 839X X X X Extracts X X X X X X X X Extracts X X X X ..... nd Rs. 5,61,27,481/- being the irregularly availed CENVAT Credit on input and input services. After due process of law, the original authority dropped partial demand and granted relief to the appellant to the tune of Rs. 5,37,42,920/-. Being aggrieved by the disallowance of credit on input services to the tune of Rs. 23,84,561/-, the appellants have filed the present appeal. 2. On behalf of the appellant, the Ld. Consultant Sh. Rahul Binani explained the various services on which the credit has been denied which is tabulated as below: Services Rejected Amount Transport of goods by rail services 2,356,147 Information Technology Software Services (ITSS) 25,669 Transport of goods by Air Services 2,745 Total 2,384,561 3. He submitte ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... containers by rail, in any manner" 5. That in this context, it is pertinent to refer Railways Act, 1989, wherein Government Railways has been defined under Section 2(20) of the Railways act. In terms of section quoted Government railway means a railway owned by Central Government. It could be seen from the combined reading of the definitions that, the services are taxable only if the services are provided by any person other than Government railways (owned by Central Government). That therefore if the service provider is a person other than Government Railways, the services are liable for levy of service tax, with effect from 01.05.2006 itself. 6. That the appellant has received the services of transportation of goods on rail from July 20 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rvicing of computer software would come within the taxable service under management, maintenance or repair service under Section 65(105)(zzg) because Explanation to Section 65(64) provides that goods includes computer software. 8. In regard to credit availed on transport of goods by air service, it is submitted that service tax was paid for demurrage charges for the imported goods. It is availed for the inputs imported. That the authorities below have wrongly considered the same to be transportation of final products and disallowed the credit holding that credit is admissible only up to the place of removal. The Ld. Consultant explained that the said services was for import of the goods used in the factory and not for clearance of the fina ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... (zzzp) of clause (105) of section 65 of the Finance Act, from the whole of the service tax leviable thereon under section 66 of the Finance Act, provided, nothing contained in this notification shall apply to any service provided or to be provided, by any person other than government railway, in relation to transport of goods in containers by rail" From the above notification, it is clear that if the service provider is a person other than Government Railways the services are liable for levy of service tax. The various invoices produced alongwith the appeal memorandum shows that the appellants have received the services of transportation of goods on rail from M/s Boxtran and Concor. These are agencies which undertake transportation of goo ..... X X X X Extracts X X X X X X X X Extracts X X X X
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