AI Drafter 
TaxTMI 
TaxTMI 
2018 (7) TMI 1007
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....e including India. In the course of audit, it was noticed that appellants had availed Cenvat Credit of service tax paid on certain input services which, according to the Department, was not eligible for credit. Further, it was also noticed that they had been imparting service of Commercial Coaching and Training Services in India as well as abroad and are liable to pay service tax on forward as well as reverse charge basis. Show Cause Notice was issuse proposing to disallow the credit of input services and also for demanding the short paid service tax along with interest and for imposing penalties. After due process of law, the Original Authority disallowed the credit to the tune of Rs. 2,09,28,910/- on input services for the period from Apr....
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....the requirement under the statutory labour laws. 2. Rent-a-cab Services The Appellant provides service to their group companies located across the globe. Due to difference between the time zones of those countries, the services are provided round the clock. The company hires cabs for picking their employees from their residence and drops them back. In absence of public transport facility for commuting at the odd hours of the day, it is essential to provide transport facilities to the employees. It is an important input service for providing output services. 3. Cargo handling services/ Packers and Movers Services These professional services assist the Appellant in documentary process and arrangement for transfer of the impo....
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....s Pvt. Ltd. v. Commissioner of ST [2018 (3) TMI 710 - CESTAT Chennai] Event Management M/s. Titan Industries Ltd. v. Commissioner of ST [2018 (3) TMI 710 - CESTAT Chennai]; 4. He submitted that the Department has erroneously demanded service tax for the services relating to Commercial Coaching and Training Services for the period from 01.01.2005 to 18.04.2006 for the services which have been performed abroad. The total demand for the said services is Rs. 12,83,005/-. Out of this, an amount of Rs. 6,83,897/- relates to services/training conducted in India for the period after 18.04.2006. The appellant admits this liability and has paid the same along with interest. An amount of Rs. 2,90,569/- pertains to charges for ....
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.... output services and, therefore, are not eligible for credit. Further, though the appellant was liable to pay service tax on Commercial Coaching and Training Services performed in India as well as abroad, they have failed to discharge the service tax. The evasion of tax would not have come to light but for the interference of the Department and, therefore, the penalties imposed are legal and proper. 6. Heard both sides. 7.1 The credit on various input services, shown in the table above, namely, outdoor catering services, Rent-a-Cab services, Cargo Handling, Event Management, were disallowed by the adjudicating authority on the ground that these services have no nexus with the output services of the appellant. In the table given above,....
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....,897 For training conducted outside India B2 2,90,569 Demand under Commercial Coaching and Training Service as per the impugned OIO C = A + B1 + B2 12,83,005 7.3 It is seen that the appellants have conducted training in India post 18.04.2006 for which an amount of Rs. 6,83,897/- is liable to be paid by them. As per the impugned order, the appellants have paid up this liability along with interest. The issue whether an assessee is liable to pay service tax on reverse charge basis was under litigation and there was much confusion with regard to the said issue during the relevant period. For the same reason, we find that being an interpretational issue, no penalties can be i....