2019 (9) TMI 470 - AT - Central Excise

CESTAT Chennai Remands Case for Further Examination on Service Tax Credit Eligibility

The Appellate Tribunal CESTAT Chennai remanded the case to the adjudicating authority for further examination. The Tribunal found insufficient evidence to ... CENVAT Credit - input services - Outward Transportation of Goods (GTA services) - period May 2016 to November 2016 and December 2016 to June 2017 - HELD THAT:- The Ld.Consultant has argued that the sale is on F.O.R. Destination basis, however from the records placed before me, I am not able to find sufficient evidence to establish this contention - It is necessary to establish place of removal in the present case. The adjudicating authority is directed to verify and determine the place of removal after appreciating the facts as well as the documents produced by the appellant - matter is therefore remanded to the adjudicating authority for de novo consideration of the issue. Appeal allowed by way of remand. Issues:Eligibility of credit of service tax paid on Outward Transportation of Goods (GTA services) for the period May 2016 to November 2016 and December 2016 to June 2017.Analysis:The Appellate Tribunal CESTAT Chennai heard the appeal regarding the eligibility of credit of service tax paid on Outward Transportation of Goods (GTA services) for specific periods. The appellant argued that as the sale was on F.O.R. Destination basis, the place of removal, according to the judgment of the Hon'ble Supreme Court and a Board's circular, was the buyer's premises, making them eligible for the credit of service tax paid on outward transportation of goods. However, the respondent supported the findings in the impugned order.Upon hearing both sides, the Tribunal noted the appellant's argument about the sale being on F.O.R. Destination basis but found insufficient evidence in the records to establish this claim. The Tribunal emphasized the need to determine the place of removal in the case. As a result, the adjudicating authority was directed to verify and determine the place of removal by examining the facts and documents provided by the appellant. The matter was remanded to the adjudicating authority for a fresh consideration of the issue.During the remand proceedings, the adjudicating authority was instructed to determine the place of removal and assess the applicability of the decision in Roofit Industries case and a Final Order by the Tribunal in another case. The appeals were allowed by way of remand to the adjudicating authority for further examination and decision-making based on the specified directions.