2009 (12) TMI 287

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....ersons who had provided the service of collection of payment from various consignees. The department issued a show cause notice dated 10-3-2006 to the appellants seeking denial of Cenvat credit and recovery of the same along with interest on the ground that services of collection of payment are not covered by the definition of input services. Invoices of the service provider on the basis of which Cenvat credit had been taken, mentioned the service provider's registration number from which it is clear that Service tax had been paid under Business Auxiliary Services head. The Department's view is that this service is not covered by the definition of input services. The Asst. Commissioner vide Order-in-Original No. 22/06/Demand dated 31-7-2006....

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....15) S.T.R. 657 (Bom.) = 2009 (242) E.L.T. 168 (Bom.); (3) CCE, Raipur v. Bhillai Auxiliary Industries - 2009 (14) S.T.R. 536 (Tribunal) = 2009 (92) RLT 97 (CESTAT-Del.); (4) CCE, Mumbai v. GTC Industries Ltd. - 2008 (12) S.T.R. 468 (Tri. - LB); (5) CCE, Jaipur-II v. J.K. Cement Works - 2009 (14) S.T.R. 538 (Tribunal) = 2009 (92) RLT 929 (CESTAT-Del.) He emphasized that in the case of G.T.C. Industries Ltd. (supra) Larger Bench of the Tribunal has held that expenditure on all the services which have a bearing on the cost of production would have to be treated as input service relating to business; that the ground on which Cenvat credit is denied is that service received by the appellant is not input service is not correct in view....

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....that the only ground on which Cenvat credit has been denied is that the service, in question, is not covered by the definition of 'input service' and it is only this point which has been discussed in the order in original and the impugned order passed by the Commissioner (Appeals). Therefore, at the stage of appeal before Tribunal, the department cannot plead that service in respect of which Service tax was paid by the service provider and of which service credit was taken by the appellants, was not taxable. It is settled law that while considering the Cenvat credit on the basis of invoices of input service provider or input goods supplier the assessment at the end of service provider or input goods manufacturer cannot be reopened. 6. Co....