The Tribunal ruled that before 01.04.2016 Rule 7 allowed discretionary distribution of credit by ISDs. As the disputed period fell within that timeframe, denial of credit on proportionality grounds was unsustainable.
The tribunal ruled that discounts offered on demo vehicles cannot reduce assessable value since the vehicles are identical to normal cars cleared to dealers.
The tribunal held that expatriate personnel working under the full control and supervision of the Indian company were employees, not service providers, and therefore payments relating to their salaries were not liable to service tax.
CESTAT ruled that communication from the supplier and supporting photographs clarified the actual quantity of imported memory modules, negating the charge of mis-declaration.
The Tribunal held that once a resolution plan is approved under the Insolvency and Bankruptcy Code, appeals relating to claims not included in the plan cannot continue.
The Tribunal held that reimbursements received from overseas manufacturers for warranty repairs were merely cost recoveries and could not be treated as taxable service consideration.
The tribunal held that steel items used for maintenance and repair of manufacturing machinery fall within the scope of inputs used in relation to manufacture. The demand for reversal of Cenvat credit and penalty was set aside.
CESTAT Delhi held that bona fide classification of goods doesn’t result into willful suppression of material facts with intent to evade payment of duty. Accordingly, invocation of extended period of limitation not justified. Thus, order deserves to be set aside and appeal is allowed.
CESTAT Chennai held that service tax credit on business support and management consultancy services cannot be denied as such services fall within “activities relating to business,” making them eligible input services under the CENVAT Credit Rules.
CESTAT Chennai ruled that contracts for executing specific jobs on piece-rate or output basis do not qualify as manpower supply services, making the service tax demand under reverse charge unsustainable.
