Unit Located In The SEZ Shall Be Treated As A Distinct Identity From Its Other Units: CESTAT Ahmedabad

The Ahmedabad Bench of CESTAT has held that if a unit of an enterprise is located in the Special Economic Zone (SEZ), the said SEZ Unit shall be treated as having a distinct identity from the other units of the said enterprise which are located outside the SEZ. Therefore, the Single Bench of Judicial Member Ramesh Nair held that a claim for refund of the service tax paid by a SEZ Unit...

Assessee Entitled To Refund Of Education Cess And Krishi Kalyan Cess Lying Unutilized In CENVAT Account: CESTAT

The Chennai Bench of Customs, Excise and Service Tax Appellate Tribunal (CESTAT) has ruled that the assessee is entitled to a refund of education cess and Krishi Kalyan Cess lying unutilized in the CENVAT account. The appellant/assessee is in the business of providing dredging services and is registered with the department for the services rendered by them. They filed a refund claim...

Service Tax Cannot Be Levied On Reimbursement Of Expenses Incurred By The Service Provider: Reiterates CESTAT Delhi

The Delhi Bench of CESTAT has reiterated that service tax cannot be levied on reimbursement of expenses incurred by the service provider. The Bench, consisting of Justice Dilip Gupta (President) and P.V. Subba Rao (Technical Member), held that since Rule 5 of the Service Tax (Determination of Value) Rules, 2006 has been held to be ultra vires by the Supreme Court in the case of Union...

Availment Of Credit On The Strength Of Photocopies Of Invoices Is Just A Procedural Lapse: CESTAT Allows Cenvat credit

The Ahmedabad Bench of the Customs, Excise and Service Tax Appellate Tribunal (CESTAT) consisting of Ramesh Nair (Judicial Member) has held that the availment of credit on the strength of photocopies of the invoices is just a procedural lapse and cannot be made the basis to disallow the cenvat credit.The petitioner/assessee has challenged the denial of Cenvat credit availed on the...

CENVAT Credit Cannot Be Claimed On Expenses Incurred On CSR: Delhi CESTAT

The Delhi Bench of Customs, Excise & Service Tax Appellate Tribunal (CESTAT) has held that expenses incurred by a person on activities related to its Corporate Social Responsibility (CSR) cannot be termed as input services and thus, CENVAT Credit cannot be claimed on it. The Bench, consisting of members Rachna Gupta (Judicial Member) and P.V. Subba Rao (Technical Member), ruled...

Service Tax Not Payable On Liquidated Damages Collected From Contractor: CESTAT

The Delhi Bench of the Customs, Excise and Service Tax Appellate Tribunal (CESTAT) consisting of Anil Choudhary (Judicial Member) ruled that service tax is not payable on liquidated damages collected from the contractor. The appellant/assessee is in the business of providing taxable services under the head renting of immovable properties, legal consultation, manpower supply service,...

No Limitation Applicable For Refund Amount Lying With Dept. Having The Nature Of Revenue Deposit: CESTAT

The Delhi bench of the Customs, Excise and Service Tax Appellate Tribunal (CESTAT) consisting of Anil Choudhary (Judicial Member) has ruled that the limitation applicable for refund amount lies with the department having the nature of revenue deposit. The appellant/assessee is in the business of providing services under the category of "Construction...

Credit Availed By Indian Overseas Bank On The Service Tax Paid On Deposit Insurance Service Is Eligible For CENVAT Credit: CESTAT

The Chennai Bench of the Customs, Excise and Service Tax Appellate Tribunal (CESTAT) consisting of Sulekha Beevi C.S. (Judicial Member) and P. Anjani Kumar (Technical Member) has held that the credit availed by the Indian Overseas Bank on the Service Tax paid on the basis of the premium paid to the Deposit Insurance and Credit Guarantee Corporation (DICGC) for insuring deposits is...

IT Service Provided By Assessee To Associate Company In USA Amounts To Export Of Service: CESTAT

The Ahmedabad Bench of the Customs, Excise and Service Tax Appellate Tribunal (CESTAT) consisting of Ramesh Nair (Judicial Member) and Raju (Technical Member) has ruled that IT services provided by the assessee to the associate company in the USA amount to an export of services.The Adjudicating Authority demanded the Service Tax, holding that the appellant's supply of services to...

Supply Of Bed Rolls Kits Amounts To Supplying Services To IRCTC, Chargeable To Service Tax: CESTAT

The Ahmedabad Bench of the Customs, Excise and Service Tax Appellate Tribunal (CESTAT) has ruled that the supply of bedroll kits to passengers of air-conditioned classes and other classes on behalf of IRCTC attracts service tax.The two-member bench of Ramesh Nair (Judicial Member) and P.Anjani Kumar (Technical Member) observed that the supply of bedroll kits to passengers for and on...

Intermediate Goods Captively Consumed For Manufacture Of Exempted Final Products Does Not Attract Excise Duty: CESTAT

The Ahmedabad Customs, Excise and Service Tax Appellate Tribunal (CESTAT), consisting of Ramesh Nair (Judicial Member) and P.Anjani Kumar (Technical Member), has ruled that intermediate goods captively consumed for the manufacture of exempted final products do not attract excise duty. The appellant/assessee is engaged in the manufacture of brass parts of agricultural products falling...

Education Cess Lawfully Refunded To The Assessee, Can't Recover Later Based On Change Of View Of The Supreme Court: J&K and Ladakh High Court

The High Court of Jammu & Kashmir and Ladakh has ruled that the revenue department cannot seek the return of the amounts lawfully refunded to the assessee in consonance with an earlier decision of the Supreme Court, on the ground that the Supreme Court has changed its opinion on the said matter in a decision rendered subsequently. The Bench, consisting of Chief Justice Pankaj...