2007 (12) TMI 31

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....he records and hearing both sides, I note that the lower authorities have demanded service tax of Rs. 94,801/- from the appellants for the period April-September 2005 on the ground that CENVAT credit on input services to the above extent was wrongly utilised for payment of service tax on "Goods Transport Agency's Service" received by them. It is further noted that this Bench has allowed similar cr....

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.... means any taxable service provided by the provider of taxable service, to a customer, client, subscriber, policy-holder or any other person, as the case may be, and the expressions "provider" and "provided" shall be construed accordingly. Explanation : For the removal of doubts it is hereby clarified that if a person liable for paying service tax does not provide any taxable service or does no....

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....ch the appellants paid Service Tax shall be deemed to be their "output service". It would follow that, for payment of Service Tax on this "output service", credit of Service Tax paid on any input service and/or credit of duty paid on any input or capital goods could be validly availed. The decision to the contra taken by the lower authorities cannot be sustained. 4. In the case of The India Cem....

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....ference to the Explanation, as learned Single Member of the Tribunal at Delhi allowed similar credit to the assessee in the case of Commissioner of Central Excise, Chandigarh v. M/s. Nahar industrial Enterprises Ltd. in Appeal No. 22 of 2007-NB(SM), dated 7-3- 2007 [2007 (7) S.T.R. 26 (Tri.) = 2007-TIOL-555 - CESTAT-DEL] cited by learned Counsel. Learned SDR has particularly relied on a circular d....