2023 (10) TMI 595
X X X X Extracts X X X X
X X X X Extracts X X X X
....service tax. On the same ground that the deposit made by the goods transport agency not being a service tax on GTA, the appellant is not entitled for the cenvat credit. 2. Shri Mayur Shroff, Learned Counsel appearing on behalf of the appellant submits that even though the appellant is legally liable to pay the service tax but when admittedly service tax was discharged by the transport agency, demanding service tax from the appellant is double liability of service tax on the same service which is not legal and correct. 2.1 He further submits that since the transport agency has discharged the service tax and the assessment of payment of service tax has not been challenged, the credit of said amount is legally admissible to the appellant. He placed reliance on the following judgments:- Mahanadi Coal fields Ltd. Vs. Commissioner 2020 (43) GSTL 263 (Tri-Kolkata) Elkos Pens Ltd. Vs. Commissioner of Service Tax, Kolkata-I - 2019 (24) GSTL 652 (Tri-Kolkata) Umasons Auto Compo Pvt. Ltd. Vs. Commissioner of C.Ex Aurangabad- 2016 (46) STR (Tri. Mumbai) Transpek Silox Industries Pvt. Ltd. 2018 (17) GSTL 434 (Tri- Ahmd.) Zyeta Interiors Pvt. Ltd. Vs. Vice Chairman Settlement Commiss....
X X X X Extracts X X X X
X X X X Extracts X X X X
....payment of service tax by the goods transport agency was made good as payment of service tax therefore, the demand against the appellant for the same service will amount to demand of service tax twice on the same service which in any case is not permissible. The Revenue is concerned about the service tax which the Government has already received, the same amount cannot be demanded twice. On the above fact, once the payment of service tax was made by the transport agency which has not been altered by taking any action by the department, the cenvat credit of the said amount is also rightly available to the appellant. In catena of case laws cited by the learned counsel, it has been held that even the service tax on GTA has been discharged by the transport agency, the person who paid the freight is not liable to pay service tax on the same service. Some of the judgments are reproduced below:- Elkos Pens Ltd. Vs. Commissioner of Service Tax, Kolkata-I - 2019 (24) GSTL 652 (Tri-Kolkata) "5. I find that the issue to be decided in the present appeal is whether the GTA service receipient is liable to pay service tax under the RCM, the Service Tax Rules. The said service tax has been pai....
X X X X Extracts X X X X
X X X X Extracts X X X X
....Ahmd.). 4. The Revenue relies upon the findings of the lower authorities and submitted that as per the provisions of the Finance Act, recipient is liable to pay Service Tax in respect of GTA service and if the same has been by the service provider, he can seek refund of the amount. 5. I find that there is no dispute regarding payment of Service Tax by the provider of GTA service. Once the amount of Service Tax is accepted by the Revenue from the provider of GTA service, it cannot be again demanded from the recipient of the GTA service. In view of this, the impugned order is set aside and the appeal is allowed" Transpek Silox Industries Pvt. Ltd. 2018 (17) GSTL 434 (Tri- Ahmd.) "The appellant is in appeal against the impugned order wherein demand was confirmed of Service Tax on account of 'Manpower Recruitment Agency Service' in terms of the Notification No. 30/2012-S.T., dated 20-6-2012. 2. The facts of the case are that in the month of July 2012 the appellant availed the Service of 'Manpower Recruitment Service' and as per Notification No. 30/2012-S.T., dated 20-6-2012, the appellant was required to pay 75% of the Service Tax and the supplier was required to pay 25% of t....
X X X X Extracts X X X X
X X X X Extracts X X X X
....-Chennai) "The assessees herein contend that the entire Service tax amount of Rs. 3,052/- confirmed against them on the ground that they were the 'consignee' and hence liable to pay Service tax on GTA services, has already been paid by the GTA to whom the assessees made payment along with freight. This submission is borne out by documentary evidence. The lower appellate authority before whom this plea was raised has not controverted the submission of payment of tax by the GTA. In the circumstances, I agree with the assessees that the present demand against them cannot be sustained, as it would amount to double payment, set aside the impugned order and allow the appeal." General Manager, J.K. Sugar Ltd. Vs. Commissioner of C. Ex., Meerut-II-2016 (43) STR 292 (Tri.-All) 5. Having considered the rival contentions, I find that under the scheme of the Act, under Section 68(1), it is provided that every person providing taxable service to any person shall pay service tax at the rate specified in Section 66, in such manner and within such period as may be prescribed. Further in sub-section (2) of Section 68 it is provided that notwithstanding anything contained in sub-section (1), i....