9911796707
TMI Blog2018 (3) TMI 109X X X X Extracts X X X X X X X X Extracts X X X X ..... facts of the case are that the appellant is an advertising agency involved in various activities which included outdoor advertising, promotion of various services and goods of clients by way of display in various public places like bus shelter, airport, roads, shops etc. They were registered with the Department and were paying service tax as advertising agency. They were availing Cenvat credit on various inputs, capital goods and input services in terms of Cenvat Credit Rules, 2004. The dispute in the present case relates to credit availed by the appellant under the category of capital goods/inputs during the financial year 2006-2007 to 2010-2011. The Revenue on examining the ST-3 returns filed by the appellant entertained a view that the a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... hile the public authorities benefited by these public utilities the appellant is able to create suitable space to display their advertisement for commercial benefit. The appellants spent money on procuring all these duty paid items which are used to create the required display structures panels etc. used for display of advertisements in public places ; (c) the ratio followed by the Original Authority as given in para 28 of the impugned order is based on incorrect appreciation of facts. First of all, all the panels and structures procured or fabricated by the appellant have been put on the same group to deny the credit. It is clear that advertisement panels and display structures of the nature put up in the airport or steel poles along th ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... and the same will be permitted only if it is for public use. Both the purpose of public utility as well as the commercial exploitation of public utility is achieved by the arrangement, by local authorities ; (e) reliance was placed on various decided cases to say that the creation of civil structure either movable or immovable cannot be a bar to allow the credit for a output service provider if such items are used in creating such structure contributing to the output service. Distinction was sought to be made between the provisions of Central Excise law for duty levy and Cenvat credit for output service provider ; (f) the impugned order is contested on limitation also. It is recorded in the order itself that the whole data for proceed ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... roup. Admittedly, the display panels stainless steel box, power meter, electrical equipment, steel framework, mobile toilets, police booth are all clearly items which are specifically will fall under input used by the provider of output service. These cannot be considered as immovable capital goods. As such, we note that there could be no legal or factual basis for denial of credits on such electrical equipments, display panels, stainless steel box, power meter, steel framework, mobile toilets, police booth which are essential materials for display of advertisement by the appellant. The appellant being an advertising agency used such media and structure for display of their advertisement. They did discharge service tax on their advertising ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... used for display of advertisement. The same is easily relocated to any other place and the fact of such relocation is not contested. As such, we note denial of credit as per the reasons recorded in the impugned order is not legally justifiable. 7. We note that the appellants provided advertising services. The statutory definition of "advertisement" and "advertising agency" are as below :- Section 65 (2)/ (3) :- "(2) "advertisement" includes any notice, circular, label, wrapper, document, hoarding or any other audio or visual representation made by means of light, sound, smoke or gas; (3) "advertising agency" means any [person] engaged in providing any service connected with the making, preparation, display or exhibition of adverti ..... X X X X Extracts X X X X X X X X Extracts X X X X
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