2015 (2) TMI 436

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....ating authority has confirmed a service tax demand of Rs. 1,17,42,949/- for the period from 2006 to 2011 alongwith interest thereon against the appellant on the ground that the appellant did not maintain records separately in respect of input services utilized in rendering of taxable and exempted services and consequently the appellant was liable to pay an amount @8% of the value of the exempted service from 2008-09 and 2010-11 and for the period prior to that appellant, exceeded Cenvat credit utilization in excess of 20% of the credit taken. He also imposed a penalty of equal amount on the appellant under Section 78 of the Finance Act, 1994 read with Rule 15 (3) of the Cenvat Credit Rules, 2004. Aggrieved of the same, the appellant is befo....

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....present case, the appellant would not be liable to reverse any excess credit taken. 4. The learned consultant also submits that as regards the period 2008-09 and 2010-11 they had maintained separate accounts and when the audit pointed out certain excess availment, they had reversed the ineligible credit to the extent of Rs. 18,41,040/- for the period 2008-09 and Rs. 1,85,106/- for 2009-10 and for the period 2010-11 the Cenvat credit taken which was not due amounted to only Rs. 5,43,427/-. Cumulatively for the period 2008-09 to 2010-11, the ineligible credit amounts to Rs. 25,69,573/- and they have remitted Rs. 19,80,319/- towards ineligible credit taken. Thus, their liability towards ineligible credit would be only Rs. 5,81,254/- which t....