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TMI Blog2019 (3) TMI 1182X X X X Extracts X X X X X X X X Extracts X X X X ..... ven the right to manage and operate the club for their mutual benefit, on principle to principle basis. Accordingly, we hold that the provisions of Service Tax are not attracted - thus, impugned order to the extent it confirms the demands raised on the appellant under the renting of immovable property services is unsustainable. CENVAT Credit - common input services and the services utilized for exempted output service - Rule 6 of CCR - Held that:- Appellant has been pleading before the lower authorities that they have maintained separate records for the services rendered for the exempted category and they have not availed CENVAT credit of the service tax paid on common input services. The Adjudicating Authority it seems has not considere ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e of the persons, appellant let out an area for running a food court and for entertaining purposes and the person whom inside area was let shall pay monthly Revenue share in the form of monthly guaranteed license fee based upon sales turnover for applicable tax PMCL and the minimum license fee was fixed and also a percentage above the sales procedure are the Revenue. Interpreting this agreement as services rendered under the category of renting of immovable property, demands was raised on this count; another demand which was raised is that they have availed CENVAT credit availed on common input services which are used for rendering of taxable and exempted output services are to be demanded from them, as also all the CENVAT credit availed on ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... .L. 400] has come to a conclusion that such amount is not taxable under the category of renting of immovable property. He would further submit that the issue involved in the case of Ambience Hospitality P. Ltd., is identical to the issue involved in the case in hand. As regards the second issue of availing CENVAT credit of the service tax paid on input services which are used for exempted as well as common input service, he would submit that they have claimed credit of service tax on the common input services and their records are segregated is not appreciated though they have produced the same before the Adjudicating Authority. It is his submission that the findings recorded by the Adjudicating Authority indicate that they had taken CENVAT ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ement, it is noted that there is no provision any service to any other person and there is no service recipient or service provider relationship, which is an essential condition to attract service tax liability and the services per-se are rendered would be to sale itself. We find that identical issue was considered in the case of Ambience Hospitality P. Ltd., (supra) wherein in paragraph No. 19 the Bench held as under: 19. This is evident from first Joint Venture Agreement entered into between the parties dated 10.03.2004. In this agreement from the Revenue Sharing Formula and the mutual covenants as agreed between the parties, it is crystal clear that the appellant and AMPL intended to do the business of running of club on principle t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ortunity to reconsider the entire evidences on this point. Without expressing any opinion on the merits on this point, leaving all the issues open, the impugned order to the extent it confirms the reversal of CENVAT credit, is remitted back to the Adjudicating Authority to reconsider the issue afresh after following principles of natural justice; appellant is directed to co-operate with the Adjudicating Authority and produce and rely on all the evidences as to non-availment of CENVAT credit on common input services and the services which are used for exempted output services. In view of the foregoing, the appeal to the extent of confirmation demand of CENVAT credit amounts as being ineligible, is remanded back to the Adjudicating Authority; ..... X X X X Extracts X X X X X X X X Extracts X X X X
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