https://www.taxtmi.com/caselaws?id=210169 CENVAT credit was admissible on service tax paid for a telephone installed at a partner's residence where the telephone was used for business-related communication with overseas customers and the expenditure was borne by the company. The department did not produce evidence of non-business use or rebut the claim that the service formed part of business expenditure. Applying the principle that an input service integrally connected with business and included in the cost of the final product qualifies for credit, denial of credit was unsustainable. The authority also treated precedent on services used in a residential colony as inapplicable, so the demands for credit reversal, interest, and equal penalty could not be sustained. en-us Tue, 07 Jun 2011 00:00:00 +0530 Mon, 26 Nov 2012 11:25:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=210169 CENVAT credit was admissible on service tax paid for a telephone installed at a partner's residence where the telephone was used for business-related communication with overseas customers and the expenditure was borne by the company. The department did not produce evidence of non-business use or rebut the claim that the service formed part of business expenditure. Applying the principle that an input service integrally connected with business and included in the cost of the final product qualifies for credit, denial of credit was unsustainable. The authority also treated precedent on services used in a residential colony as inapplicable, so the demands for credit reversal, interest, and equal penalty could not be sustained. Case-Laws Service Tax Tue, 07 Jun 2011 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=210169