TaxTMI 
TaxTMI 
TaxTMI 
2016 (9) TMI 194
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....s contract service claimed to have been received as per invoice No.01/01 dt. 09/02/2013, the bill period being 26/01/2008 to 31/01/2013 issued by M/s. Vijaya Engineering Works. The original authority dropped proceedings in respect of an amount of Rs. 64,57,60,966/-. The appellant had already reversed credit of Rs. 10,39,634/- admitting the ineligibility of credit. In the order-in-original, the original authority confirmed the demand of interest on Rs. 10,39,634/- till the date of reversal, and also confirmed the demand of Rs. 13,84,799/- along with interest besides imposing equal amount of penalty on this demand. The present appeal is filed challenging i) the confirmation of demand of Rs. 13,84,799/-, ii) the demand of interest on Rs. 10,39....
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....lause of the definition of input services contained in Rule 2(l) of CENVAT Credit Rules 2004. To fortify his arguments, he placed reliance on the Advance Ruling in GSPL India Transco Ltd. [2015(40) STR 393 (A.A.R)]. 3. The second issue in the appeal is with regard to demand of interest on the credit of Rs. 10,39,634/- which was reversed by the appellant before utilization. The learned counsel relied upon the judgment laid in CCE&ST, LTU, Bangalore Vs. Bill Forge (P) Ltd. [2012(279) ELT 209 (Kar.)], CE Vs. Strategic Engineering (P) Ltd. [2014(310) ELT 509 (Mad.)] and in Grasim Bhiwani Textiles Ltd. Vs. CCE, Rohtak [2016(232) ELT 865 (Tri. Del.)]. 4. On behalf of the Revenue, the learned AR Shri Arunkumar supported the findings in the impug....
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....utput service for providing an output service; or (ii) used by a manufacturer, whether directly or indirectly, in or in relation to the manufacture of final products and clearance of final products upto the place of removal, and includes services used in relation to modernisation, renovation 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, accounting, auditing, financing, recruitment and quality control, coaching and training, computer networking, credit rating, share registry, security, business exhibition, legal services, inward transportation of inputs or capita....
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....mmercial or Industrial Construction" means - (a) construction of a new building or a civil structure or a part thereof; or (b) construction of pipeline or conduit; or (c) completion and finishing services such as glazing, plastering, painting, floor and wall tiling, wall covering and wall papering, wood and metal joinery and carpentry, fencing and railing, construction of swimming pools, acoustic applications or fittings and other similar services, in relation to building or civil structure; or (d) repair, alteration, renovation or restoration of, or similar services in relation to, building or civil structure, pipeline or conduit, 8. In the above definition, the two services are given under two different sub-clauses which means t....
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.... no doubt that the applicant is provider of output service i.e. transport of gas through pipeline and therefore, eligible to take credit of service tax paid on input service i.e. construction/erection, installation and commissioning by EPC contractors/third party. Further, as per rule 2(l) ibid, input service inter alia means any service used by a provider of output service for providing an output service. However, it excludes services portion in the execution of works contract and construction services. It has been correctly pointed out by the applicant that service of laying of pipeline is different from construction of building or a civil structure, as under erstwhile Section 65(25b) of the Finance Act, 1994, commercial and industrial se....