https://www.taxtmi.com/caselaws?id=761420 CESTAT Bangalore allowed the appeal regarding calculation of proportionate credit attributable to exempted services under Rule 6(3A)(c) of CCR, 2004. The Tribunal held that factor P in the formula refers only to credit on common input services used for both taxable and exempted services, not total credit including services exclusively used for taxable output services. The adjudicating authority erred in calculating total turnover of traded goods as trading service value instead of following Rule 6 Explanation 1(c), and in considering total credit taken rather than credit on common input services. Since appellant had already reversed the proportionate credit amount as required, the demand was unsustainable. en-us Fri, 08 Nov 2024 00:00:00 +0530 Mon, 11 Nov 2024 08:42:39 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=761420 CESTAT Bangalore allowed the appeal regarding calculation of proportionate credit attributable to exempted services under Rule 6(3A)(c) of CCR, 2004. The Tribunal held that factor P in the formula refers only to credit on common input services used for both taxable and exempted services, not total credit including services exclusively used for taxable output services. The adjudicating authority erred in calculating total turnover of traded goods as trading service value instead of following Rule 6 Explanation 1(c), and in considering total credit taken rather than credit on common input services. Since appellant had already reversed the proportionate credit amount as required, the demand was unsustainable. Case-Laws Service Tax Fri, 08 Nov 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=761420