2019 (2) TMI 677

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.... taxes paid by them under "Goods Transport Agency Service" for transportation of transmission line materials manufactured by them to their purchasers; this was on the presumption that they are eligible for CENVAT Credit as the contract entered by them with various Power Grid Corporations indicates the cost of transmission line materials as Ex. Works. Lower authorities were of the view that service tax liability under GTA services arises on the appellant, coming to such a conclusion issued a show cause notice to appellant demanding service tax with interest and proposing to impose penalties. The adjudicating authority confirmed the demands raised along with interest and imposed penalties, the first appellate authority also concurred with the....

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....n be spread out into two separate periods. First period prior to 01.04.2008 and second post 01.04.2008. 9. As regards the eligibility to avail CENVAT credit on the service tax paid on goods transport agency prior to 01.04.2008, we find there is no dispute as to the fact that such service tax liability has been discharged by the appellant under reverse charge mechanism, availed the CENVAT credit of service tax which, we find is correct as the agreement with Power Grid Corporation indicates that the cost of equipments/transmission line materials were Ex-works and appellant is required to deliver the same at site and Power Grid Corporation have issued the same to appellant for executing the contract of erection, commissioning and installati....

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....cisions (as cited herein above) has categorically held that CENVAT credit of the service tax paid on goods transport agency which are eligible to till 01.04.2008 and not for the subsequent period. Respectfully following the same, we hold that the appeal filed by the appellant (ST/3034/2012) is devoid of merits and needs to be rejected and we do so. The demands confirmed along with interest are upheld and the appellant having paid so as recorded in the adjudication order, the same stands appropriated. As regards the penalty imposed in this appeal, since the issue was settled by the Apex Court in 2018, we find that there is no reason to visit appellant with any penalty. Accordingly, penalty imposed on the appellant in this appeal is set aside....