2015 (11) TMI 910

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....dy paid by the appellant was appropriated against the said liability. Interest under Sec. 75 was also demanded and the amount of Rs. 1,50,000/- paid by the appellant was adjusted against the interest liability. 2. The fact of the case is that M/s. Maharashtra Cricket Association is an association established with the purpose of the game of cricket. They are registered with the Service Tax Department as recipient of various taxable services and also provider of services of 'Renting of Immovable Property Services'. The appellant constructed a cricket stadium at vill. Gahunje, Tal. Mulshi, Distt. Pune and for the said purpose, they had received architect's services and design services from certain consultants, who did not have any....

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....der Sec. 78 were also proposed to be imposed/demanded. In the adjudication, the Ld. Commissioner confirmed the demand as proposed in the show cause notice and also demanded the interest, however no penalty was imposed. Aggrieved by the impugned order, the appellant filed the present appeal. 4. Ms. Aparna Hirandagi, Ld. Counsel for the appellant submits that the show cause notice as well as confirmation of the demand was made only on the basis of Board Circular No. 98/01/2008-ST dated 04.01.2008. She submits that the said Board Circular is completely contrary to the definition of 'Input Services' provided under Rule 2(l) of Cenvat Credit Rules, 2004. She further submits that period involved in the present case is 2008-09. As per the....

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....- 2015 (317) E.L.T. 731 (Tri. - Ahmd.) 4. Sai Samhita Storages Pvt. Ltd. V/s C.C. & C.Ex., Visakhapattnam-II - 2010 (255) E.L.T. 91 (Tri. - Bang.) 5. C.C.E., Visakhapattnam-II V/s Sai Samhita Storages Pvt. Ltd. - 2011 (270) E.L.T. 33 (A.P.) 6. Shri A.K. Goswami, Ld. Commissioner (AR) appearing on behalf of the Revenue reiterates the impugned order. He submits that from the Board Circular No. 98/01/2008-ST dated 04.01.2008, it is very clear that commercial or industrial construction service or works contract service is an input service for the output namely immovable property. Immovable property neither subject to Central Excise duty nor Service Tax. The input credit of service tax can be taken only if the output is a service liable ....

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....on or repairs of a factory, premises of provider of output service or an office relating to such factory or premises, advertisement or sales promotion, market research, storage upto the place of removal, procurement of inputs, activities relating to business, such as accounting, auditing, financing, recruitment and quality control, coaching and training, computer networking, credit rating, share registry, and security, inward transportation of inputs or capital goods and outward transportation upto the place of removal." From the above definition of input service, any service used by a provider of taxable service for providing an output service is admissible 'input service'. Input service specifically includes amongst others servi....

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....pparent that the Circular is contrary to the definition of input service which is not tenable. We found that the judgments, relied upon by the counsel, are directly applicable in the present case. However the Ld. Commissioner brushed aside the judgment only giving excuse that he is bound by the Board Circular. In the case of Navaratna S.G. Highway Prop. Pvt. Ltd. (supra), the division bench of Ahmadabad Tribunal in the identical case allowed the Cenvat Credit on the input services used for construction of immovable property which in turn used for renting and other services. The operative para is reproduced below:- "3.2 The definition of 'inputs' is limited to the definition of 'input services' as can be seen from the defin....