2018 (8) TMI 691

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....ingh, AR for the Respondent ORDER Per C.L. Mahar: 1. The brief facts of the matter are that the appellant is engaged in the business of trading and servicing of four wheeler motorcars as an authorised dealer of Maruti Udyog Ltd. and they are also doing the servicing of the automobile cars. It has been the allegation of the Department that the appellant is availing Cenvat Credit on the Ser....

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....otice has also mentioned that since the respondent i.e. the appellant-assessee did not maintain separate accounts for input services used towards the trading activity (exempted activity) and that towards servicing of cars, therefore, the appellant are required to pay an amount of Cenvat Credits in terms of Rule 6 (3a) of Cenvat Credit Rules, 2004. 2. The Ld. Advocate appearing on behalf of the ....

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....4. We are of the opinion that trading activity abinitio cannot be considered as a "service" because the trading in the cars only involves transfer of property on financial consideration from the appellant dealer to various buyers of automobile cars. The Cenvat Credit facility of input services is only available to the output services rendered by any assessee and thus the Cenvat Credit of input ser....

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....eing paying Service Tax on trading activity during the relevant period." We have also relied upon the order of this Tribunal in case of Lally Automobiles Pvt. Ltd. V/s Commissioner of Service Tax, Delhi 2018 (10) GSTL 310 (Tri.-Del). The relevant extract of the judgment are reproduced herein below:- "6. We have heard both the sides and perused appeal records. The admitted facts are that the ....