CESTAT Chennai: Appellants Allowed CENVAT Credit for GTA Service Tax

The Appellate Tribunal CESTAT, Chennai ruled in favor of the appellants, allowing the use of CENVAT credit to pay service tax on GTA service. The impugned order demanding service tax, education cess, interest, and penalty was set aside, and the appeal was allowed.

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The Appellate Tribunal CESTAT, Chennai ruled in favor of the appellants, stating that CENVAT credit can be used to pay service tax on GTA service. The decision was based on earlier Tribunal rulings, including the cases of India Cements Ltd. v. CCE and Pallipalayam Spinners (P.) Ltd. v. CCE. The impugned order demanding service tax, education cess, interest, and penalty was set aside, and the appeal was allowed.

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