Ipc Packaging Pvt. Ltd vs Commissioner Of Central Excise, ...
- CitationAppeal No. 283/2014
Ratio decidendi
The rule this decision rests on
Cenvat credit of service tax paid on outward transportation from the place of removal is admissible for the period before the amendment of the definition of "input service" on 01.04.2008, notwithstanding a contrary Board Circular, where the Karnataka High Court has so held in a binding decision. Where the issue is squarely covered by a decision of the jurisdictional High Court and contrary views existed resolved in favour of the assessee, the extended period of limitation cannot be invoked to deny such credit.
Written by Miss Lucy from the judgment below, not taken from a headnote.
Judgment
As delivered
[Arising out of Order-In-Appeal No. 283/2014 dated 19/05/2014 passed by the Commissioner of Central Excise, Bangalore-I ( Appeals) ]
For approval and signature:
HON'BLE SHRI B.S.V. MURTHY, TECHNICAL MEMBER
1 Whether Press Reporters may be allowed to see the Order for publication as per Rule 27 of the CESTAT (Procedure) Rules, 1982? No 2 Whether it should be released under Rule 27 of the CESTAT (Procedure) Rules, 1982 for publication in any authoritative report or not? No 3 Whether Their Lordships wish to see the fair copy of the Order? Seen 4 Whether Order is to be circulated to the Departmental authorities? Yes
IPC Packaging Pvt. Ltd. Plot No. 20, Jigani Road, Bommasandra, Jigani Industrial Area, Hulimangala Bangalore 562 106 Karnataka Appellant(s)
Versus Commissioner of Central Excise, Customs and Service Tax Bangalore-I Post Box No. 5400, CR Buildings, Bangalore 560 001 Karnataka Respondent(s)
Appearance:
Mr. Rajesh Kumar, CA Hiregange & Associates #1010, 1st floor (Above Corp. Bank) 26th Main, 4th T Block, Jayanagar, Bangalore 560 041 Karnataka For the Appellant
Mr. Mohd. Yusuf, AR For the Respondent
Date of Hearing: 21/01/2015 Date of Decision: 21/01/2015 CORAM:
HON'BLE SHRI B.S.V. MURTHY, TECHNICAL MEMBER
Final Order No. 20113 / 2015
Per: B.S.V. MURTHY
The issue involved is eligibility of the appellant for cenvat credit of service tax paid on outward transportation for the period from October 2006 to March 2008. Learned CA submits that as per the decision of the Honble High Court of Karnataka in the case of CCE & ST, LTU, Bangalore Vs. ABB Ltd. [2011 (23) S.T.R. 97 (Kar.)], the credit of service tax for outward transportation service from the place of removal is admissible notwithstanding the Boards Circular till 01.04.2008 the date on which definition of input service was amended. Moreover he also submits that in this case show-cause notice was issued on 07.12.2011.
2. I find that the issue is squarely covered by the decision of the Honble High Court of Karnataka and further when there were contradictory views culminating in a favourable decision to the assessee in respect of cenvat credit on outward transportation service till 01.04.2008, invocation of extended period also cannot be sustained. In view of the above, the appeal is allowed with consequential relief, if any, to the appellant. (Order pronounced and dictated in open court)
(B.S.V. MURTHY) TECHNICAL MEMBER
iss
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