TaxTMI 
TaxTMI 
2023 (1) TMI 593
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....ble on GTA Service Rs. 6,44,202/- Annexure B Service tax payable on Business Auxiliary Service (Commission received) Rs. 11,05,988/- Annexure D Denial of Cenvat credit on account of documents defects of not mentioning the service tax registration number Rs. 45,97,501/- Total 63,47,691/- 3. Learned counsel pointed out that the demand of service tax on GTA services is raised on the basis of the figures reported in the ST-3 return and figures appearing in the balance sheet/P&L Account of the appellant. Learned counsel argued that the demand is based on the assumption and presumptions. He also pointed out that they have submitted reconciliation in the shape of a certificate of chartered accountant which h....
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....ny other explanation. We find that no such documents have been sought by the adjudicating authority. In these circumstances summary rejection of chartered accountant certificate is not right. Learned counsel argued that the situation is revenue neutral as the appellant would have been entitled to cenvat credit on the tax paid on the GTA services. It is not entirely correct argument as part of the GTA services could have been availed for the purpose of clearance of finished goods and the admissibility of cenvat credit on such service tax depends on many factors. In this circumstance the argument of revenue neutrality does not survive. 3.3 In view of the above the order confirming demand on service tax on GTA services is set aside and the ....
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.... STR 986 (Tri. Del) 4.1 Learned AR pointed out that the impugned order in para 8.9 clearly states that suitable deduction for the exempted service has already been given and already these services not covered has been confirmed. He argued that the amount of Rs 1,11,32,454/- is the amount of commission received in respect of services and not in respect of goods. He argued that the benefit of exemption on services provided in respect of goods has already been extended in Annexure B to the show cause notice. Learned AR also submitted that the services provided by them is not merely in respect of sales of goods but attending to the customers complaints also. 4.2 On the second issue regarding demand of service tax on the sales commission a....
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....h payment has been received and specifically examine the nature of services provided an its taxability. The appeal is allowed by way of remand. 5. The third issue raised relates to denial of cenvat credit on account of certain defects in the documents on the strength of which the credit was taken. Learned counsel pointed out that the SCN seeks to recover the Cenvat credit of Rs 45,97,501/- taken by them during the period 2006- 2007 to 2007-2008 on the strength of debit notes issued by M/s Gupta Metallics and Power Ltd and M/s Dhariwal & Doshi Industries Pvt Ltd. It has been alleged in the SCN that when the said debit notes were issued neither M/s Gupta Metallics and Power Ltd nor M/s Dhariwal & Doshi Industries Pvt Ltd were registered wi....
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....enuine. Similarly debit notes issued by M/s Gupta were found to be genuine. The revenue has placed on record letter dated 21.01.2013 of Commissioner of Service Tax Ahmedabad. The letter is reproduced below:- "Please refer to your office letter F.No. ST/131/2012 dated 03.12.2012 on the above subject. The total Cenvat credit Involved is Rs. 45,97,501/- out of which Rs. 33,07,708/- pertains to the Division -I of Central Excise Vadodara - I. The Dy. Commissioner, Vadodara -I has verified the relevant Cenvat Credit Debit /notes and has found that the debit notes issued during the year 2006 -07 involving service tax of Rs. 22,99,372/- were not issued by M/s. Dhariwal & Doshi Industries Pvt Ltd and hence, appear to be fake. Since....
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....ove the demand is set aside and appeals are allowed by way of remand. (Pronounced in the open court on 12.01.2023) ============= Document 1 ANNEXURE-'B' WORKS-SHEET OF COMMISSION CHARGES RECEIVED DURING THE PERIOD 2004-05 TO Sr. No. 1 Description Gross Commission & Service Charge as per Balance Sheet Add. O.B. Debtors 2 Total (1+O.B. Debtors) Less C.B. Debtors 3 Gross receipt of commission & 2007-08 2004-05 2005-06 2006-07 2007-08 51696934 43762424 54716033 53694730 11132454 8144076 3105378 10068566 62829388 51906509 57821411 63763296 8144076 3105378 10068566 11082815 54685311 4880122 47752845 52680481 service charge a per ledger (2 - C.B. Debtors) 4 Less (i) St....