Applicability of Central Excise and Service Tax Sections to CENVAT Credit: Sections 11A and 11AB will be applicable where the CENVAT credit in question has been utilised for payment of duty of excise on final products whereas Sections 73 and 75 of the Finance Act are applicable where the credit has been utilised for payment of service tax on output services. CENVAT Credit: Commissioner (Appeals) has correctly observed that it is for the department to prove that mobile phones were not used in or in relation to manufacture. Cenvat credit of Service Tax on mobile phones is admissible and the revenue’s appeal rejected. CENVAT Credit: Credit availed on inputs and capital goods and input services can be utilised for discharging the liability of Service Tax on GTA services. Revenue’s appeal rejected. |
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