TaxTMI 
TaxTMI 
2019 (11) TMI 896
X X X X Extracts X X X X
X X X X Extracts X X X X
....ng with Shri Nishant Mishra & Shri Nikhil Gupta, learned Advocates appearing for the appellant and Shri Rajeev Ranjan Learned Authorised Representative appearing for the revenue, we find that the appellant is engaged in manufacture of various products as also providing various taxable services. They were also indulging in trading activity which stands considered by the revenue as exempted services. As the appellant was availing the input service tax credit in respect of various input services, which were either being used exclusively for providing taxable services or were being commonly used for providing both the types of services, Revenue entertained a view that they are required to pay 10% of value of the exempted services. Accordingly, ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....he present demand was also based upon the audit objection conducted in the year whereas the show cause notice stands issued after a period of 4 years. Though they drew the attention of adjudicating authority to various decisions of higher courts laying down that issuance of show cause notice after the normal period of limitation, from the date of the audit, has to be held as barred by limitation, but the said plea was not adverted to. 3. The Commissioner while adjudicating the present matter took into consideration all the submissions of the appellant as regards the reversal of entire Cenvat credit availed on the disputed seven services, but observed that apart from the said seven services, the appellant has availed Cenvat credit on vari....
X X X X Extracts X X X X
X X X X Extracts X X X X
....t/export transactions, Charted Accountant Service (Certificate for issuance of Form 15CB- Outward Remittance Certificate), Telephone charges, Rent-a-Cab Service and on Security Services. He further draws our attention to the submissions made before the Original Adjudicating Authority along with the chart placed before him indicating that irrespective of the said service being partially used for providing taxable output services, the appellant has reversed the complete credit availed in respect of said disputed services, even though the appellant was entitled to the credit on proportionate basis, used for taxable output services. He also draws out attention to the findings of Original Adjudicating Authority to the effect that though he accep....
X X X X Extracts X X X X
X X X X Extracts X X X X
....te is no more res-integra and stands settled by various decisions laying down that once the proportionate credit stands reversed in respect of the services used for exempted output services, no demand in terms of the provisions of Rule 6 (3) can be raised or confirmed against the assessee. For the above preposition, he has referred to the Tribunal's decision in the case of Commissioner of Central Excise & Service Tax, Udaypur Vs Secure Meters Ltd. reported at 2017 (354) ELT 146 (Tribunal-Delhi) which decision stands affirmed by the Hon'ble Rajasthan High Court reported as 2017 (354) ELT A32 (Raj.). In particular learned Advocate refers to para no.7 of the said decision which reads as under:- "7. We find that the issue is no more re....
X X X X Extracts X X X X
X X X X Extracts X X X X
....ear from the date of audit has to be held as barred by limitation. Particular, reference stands made to the Hon'ble Supreme Court's decision in the case of M/s Orissa Bridge & Construction Corpn. Ltd. Vs Commissioner of Central Excise, Bhubaneswar, reported as 2011 (264) ELT 14 (SC), as also to the Hon'ble Allahabad High Court's decision in the case of Commissioner of Central Excise Vs M/s Triveni Engineering Industries Ltd. reported at 2015 (317) ELT 408 (All). However, he fairly agrees that a part of the demand may fall within the limitation period. 7. Countering the arguments of learned Sr. Advocate, learned Authorised Representative appearing for revenue reiterates the findings of Original Adjudicating Authority. 8. After having c....