https://www.taxtmi.com/caselaws?id=783923 Service tax rate on dredging services post-enhancement from 10% to 12% w.e.f. 18.04.2006 turned on the taxable event; applying SC law on the binding nature of circulars and HC precedent that rendition of service is the point of taxation, the Tribunal held services rendered prior to 18.04.2006 attracted 10% and not 12%, setting aside the differential demand. On Cenvat credit, spares/parts used to repair dredgers deployed for taxable output service were held to be "inputs" under the CCR, allowing credit and quashing denial. Since the items were inputs, the restriction to 50% credit in the first year was inapplicable, and the related demand failed. However, interest on wrongly availed but reversed credit remained payable under SC precedent, and was sustained to that extent; appeal partly allowed. en-us Mon, 01 Dec 2025 00:00:00 +0530 Fri, 26 Dec 2025 07:18:34 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=783923 Service tax rate on dredging services post-enhancement from 10% to 12% w.e.f. 18.04.2006 turned on the taxable event; applying SC law on the binding nature of circulars and HC precedent that rendition of service is the point of taxation, the Tribunal held services rendered prior to 18.04.2006 attracted 10% and not 12%, setting aside the differential demand. On Cenvat credit, spares/parts used to repair dredgers deployed for taxable output service were held to be "inputs" under the CCR, allowing credit and quashing denial. Since the items were inputs, the restriction to 50% credit in the first year was inapplicable, and the related demand failed. However, interest on wrongly availed but reversed credit remained payable under SC precedent, and was sustained to that extent; appeal partly allowed. Case-Laws Service Tax Mon, 01 Dec 2025 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=783923