9911796707
TMI Blog2018 (9) TMI 985X X X X Extracts X X X X X X X X Extracts X X X X ..... by them - Held that:- In the appellant’s own case, the demand for levy of VAT on the sale of SIM Cards was dropped by the Deputy Commissioner of Commercial Taxes by holding that the sale of SIM Cards is not goods sold or intended to be sold to the customer - credit availed by the appellants on SIM Cards is eligible and the demand for reversal cannot sustain. CENVAT Credit - various input services - Held that:- The definition of input services during the period prior to 01.04.2011 had a wide ambit as it included the words “activities relating to business”. Thus, all the services in the said table is held eligible (except subscription paid to club) - as regards, subscription paid to club, it is not established by the appellant as to why or how such services are related to the output services provided by them. The credit availed on subscription paid to club does not qualify as input service and therefore, the disallowance of credit on such service is upheld. CENVAT Credit of ₹ 58,60,300/- - dis-allowance for the reason that the appellants have not produced necessary documents and that the documents do not contain necessary details - Held that:- We cannot find any merit in ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 58,60,300/- 58,60,300/- TOTAL 22,11,07,828/- 22,11,07,828/- 2.2.1 The Ld. Counsel submitted that in respect of Sl. No. 1 in the above table which pertains to credit availed on Towers and Shelter Materials, presently the issue is decided in favour of the Revenue by the decision of the Larger Bench in Tower Vision India Pvt. Ltd. Vs. C.C.E. (Adj.), Delhi 2016 (42) S.T.R. 249 (Tri. LB) which was approved by the decision of the Hon ble Bombay High Court in Bharti Airtel Ltd. Vs. Commissioner of Central Excise, Pune-III 2014 (35) S.T.R. 865 (Bom.). He submitted that appeals are pending before higher courts. 2.2.2 With regard to this issue, the Ld. Counsel however argued on the ground of limitation and submitted that the period from April, 2007 to March, 2008 would fall within the normal period and the demand prior to April, 2007 is hit by limitation. The appellants were under bona fide belief that credit is eligible and hence availed the same. The issue was contentious and had travelled up to the Larger Bench and being an interpretational issue, the invocation of ex ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 2. Collection charges [D] of Annexure-1 (i) Nav Bharat Tubes Ltd. Vs. C.C.E., Jaipur [2010 (18) S.T.R. 470 (Tri. Del.)] (ii) Bajaj Finance Ltd. Vs. C.C.E., Pune-I [2018 (10) G.S.T.L. 251 (Tri. Mum.)] [E] of Annexure-1 3. Boarding Lodging of company officials (i) Maruti Suzuki India Ltd. Vs. C.C.E., Delhi [2017 (47) S.T.R. 273 (Tri. Chan.)] (ii) HPCL Vs. C.C.E., Visakhapatnam [2017 (47) S.T.R. 136 (Tri. Hyd.)] 4. Corporate Consultancy (i) Navaratna S.G. Highway Prop. Pvt. Ltd. Vs. Commr. of S.T., Ahmedabad [2012 (28) S.T.R. 166 (Tri. Ahmd.)] (ii) Apotex Pharmachem India Pvt. Ltd. Vs. C.C.E., Cus. S.T., Bangalore-I [2017 (50) S.T.R. 26 (Tri. Bang.)] 5. Pandal Shamiana Service (i) DBOI Global Services Pvt. Ltd. Vs. C.S.T. Mumbai [2017 (48) S.T.R. 157 (Tri. Mum.)] 6. Market Study for Maharashtra circle (i) Adani Port and Special Economic Zone Ltd. [2016 (42) S.T.R. 1010 (T ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... .) (ii) Assessee s own case in Final Order No. 40194-40207/2018 dt. 22.01.2018 19. Rent paid on cell sites leased Covered under Means clause of definition Premises used to provide output services 20. Rent paid on other leased premises used for providing output service Renting of immovable property credit 21. Soil investigation for cell site Covered under Means clause of definition Soil Investigation is necessary for installing and erecting stable cell sites. 22. Subscription paid to club (i) C.C.E., Udaipur Vs. Manglam Cement [2018 (9) G.S.T.L. 7 (Raj.)] 23. Commission paid to dealers in lieu of subsidy given for handsets (i) Activity relating to business 24. Warehousing services Specified in Includes clause of definition of Input Services: Storage up to place of removal 25. Laying of optical fibre ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ership fee paid to club and therefore, cannot be allowed. 3.5 It is strongly argued by the Ld. AR that ₹ 58,60,300/- availed by the appellant has been rightly denied for the reason that appellant has not produced documents to support the credit availed. The necessary details were not provided with regard to the various services and therefore, the credit has been denied. 4. Heard both sides. 5.1 The first issue that arises for consideration is with regard to the credit availed on Tower and Shelter Materials under the category of inputs. The said issue stands decided by various cases including the decision of the High Court of Bombay in the case of Bharti Airtel Ltd.(supra) . This Tribunal in the appellant s own case vide Final Order dated 22.01.2018 has followed the decision of Bharti Airtel Ltd. (supra) as well as the Larger Bench decision in Tower Vision India Pvt. Ltd. (supra) and held that the appellants are not eligible for such credit. However, the Tribunal, taking note of the facts of the case, had set aside the demand for the extended period as well as the penalties for the normal period. For this, the Tribunal had relied upon the decision in Vodafo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... appellants on SIM Cards is eligible and the demand for reversal cannot sustain. 7.1 The third issue that arises for consideration is the credit availed on various input services . The appellant has given the details of the various input services in the table as shown above. The services of erection, construction and installation of towers and shelters was availed by the appellant for providing output service of telecommunication. These services have direct nexus with the output service and therefore, is eligible for credit. The Tribunal in the appellant s own case vide Final Order dated 22.01.2018 has allowed the credit. For this reason, we hold that the credit on this service is eligible. The appellant has availed credit on collection charges which are nothing but charges paid to Bill Collection Agencies. In the case of Bajaj Finance Ltd. Vs. C.C.E., Pune-I 2018 (10) G.S.T.L. 251 (Tri. Mum.) it was held that assessee is entitled to CENVAT Credit on input services which were used for repossession of vehicle by recovery agent. Here, the appellants have used the facility of Bill Collectors/Agents for recovery of the bills from customers. Thus, the said credit availed on ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
