2018 (9) TMI 316

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....ces of club or association services and are also registered for services such as health and fitness service, tour operator service, air and railway travel agency service etc. They had availed common input services for taxable service as well as for trading. Since they had not maintained separate accounts, department was of the opinion that the credit availed in respect of trading is not eligible. Show cause notices were issued proposing to disallow credit and demand the credit proportionate to the turnover of the traded goods. After due process of law, the original authority confirmed the demand along with interest and also imposed penalties. Hence these appeals. 3. The ld. counsel Shri S. Thirumalai submitted the details of the demand i....

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....raded goods and therefore the demand made on turnover traded goods will not sustain. He relied upon the decision in the case of M/s. TFL Quinn India Pvt. Ltd. Vs. Commissioner of Central Excise, Hyderabad - 2016-TIOL-856-CESTAT-HYD to argue that the Tribunal in the said case had considered that for the period prior to 1.4.2011 also the said formula can be applied. Similar view was taken by the Tribunal in the case of Mercedes Benz India Pvt. Ltd. Vs. Commissioner of Central Excise - 2015 (40) STR 381. 5. The ld. AR Shri K. Veerabhadra Reddy supported the findings in the impugned order. 6. Heard both sides. 7. The issue that has to be analyzed is only as to what is the amount that the appellant has to reverse when common input servi....