2016 (7) TMI 1198

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....ice tax paid on input services. A show-cause notice was issued alleging irregular availment of credit on inputs, capital goods and input services to the tune of Rs. 11,49,720/-. After due process of law, the original authority vide order dated 30/11/2011 allowed part of the credit. Against the confirmation of demand of Rs. 3,18,950/-, the appellants filed appeal before the Commissioner(Appeals). As per the order impugned herein, the Commissioner(Appeals) allowed part of the credit but disallowed credit on capital goods (Rs.50,341/-) and input services (Rs.59,997/-). The present appeal is filed challenging the disallowance of such credit on capital goods and input services. 3. On behalf of the appellant, the learned counsel submitted that....

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....02(148) ELT 972 (Tri. Del.)] allowed the credit availed on Air receiver as capital goods. 4. The learned counsel, then placed his arguments with regard to the disallowance of credit on input services. The services of pay roll processing and collection of C Forms has denied by the authorities below stating that these services do not qualify as input services. The learned counsel submitted that the appellants had outsourced the work of payroll processing and service tax was paid on such services. Again, in relation to payment of Central Sales Tax, the appellant had to obtain the C Forms, for which an agency was entrusted to get the C Forms within time. These services are integral to the accounting of the appellants business and fall withi....