Cenvat Credit eligibility on rented vehicles clarified: vehicle must qualify as capital goods with respect to the service provider.
The exclusion in the definition of input service disallows Cenvat credit where the renting service involves a motor vehicle "which is not a capital good," but ambiguity exists as to whether capital goods status is determined with reference to the service provider or the recipient; the Tribunal held the status must be examined vis-a -vis the service provider, allowing credit where the provider's vehicle qualifies as a capital good used to supply the renting service. (AI Summary)

Tribunal power to extend stay limited by statutory proviso; amendment narrows relief and affects pending appeals.
Tribunal power to grant or extend interim stay under Section 35C(2A) is contested: a literal reading of the third proviso as mandating automatic vacatur after 365 days is criticised as producing absurdity and undermining the right of appeal. The author argues for a purposive construction permitting extensions where delay is not attributable to the assessee, distinguishes income-tax provisos that expressly negated such exceptions, and notes that Finance Act, 2014 omitted the provisos prospectively, leaving pending cases unresolved. (AI Summary)