Cenvat credit on sales commission service tax recognised as admissible input service, invalidating the credit denial.

Service tax paid on sales commission was treated as an input service for Cenvat credit under the Cenvat Credit Rules, 2004. Prior Tribunal rulings had already held that commission-related service tax falls within the scope of input service, and that ratio was followed here. The denial of credit was therefore found unsustainable and was set aside in favour of the assessee.

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Issues: Whether service tax paid on sales commission qualifies as input service for availing Cenvat credit under the Cenvat Credit Rules, 2004.

Analysis: The issue was treated as settled by prior Tribunal decisions holding that service tax paid on commission amount falls within the scope of input service for the purpose of Cenvat credit. Following the same ratio and noting that it had been subsequently applied in other cases, the impugned denial of credit was found unsustainable.

Conclusion: Cenvat credit of service tax paid on sales commission is admissible, and the denial of credit was set aside in favour of the assessee.

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