ULTRATECH CEMENT LTD. Vs. COMMISSIONER OF CENTRAL EXCISE, JAIPUR-I
LAWS(CE)-2015-3-93
CUSTOMS EXCISE AND GOLD(CONTROL) APPELLATE TRIBUNAL
Decided on March 26,2015

Ultratech Cement Ltd. Appellant
VERSUS
Commissioner of Central Excise, Jaipur -I Respondents




JUDGEMENT

ASHOK JINDAL, MEMBER (J) - (1.)THE appellant is in appeals against the impugned orders denying credit of Service Tax paid on various services, i.e., on printing of calendar, greeting cards, diaries and for organizing award function for students and booklets for contest and water harvesting systems during the period April, 2007 to March, 2011 and non -payment of Service Tax on space renting for commercial purposes. As both the appeals are arising out of common issue, therefore, they are being disposed of by a common order.
(2.)The contention of the learned consultant for the appellant is that printing of calendars, greeting cards, diaries, etc., are for the sales promotion activity of their business. Further awards function organized by them is also part of their sale promotion as the students to whom the awards have been given, they give innovative idea for usage of their products in the construction activity. These two services are integral part of the sale promotion activity of the appellant. He submits that the appellants are entitled to take credit on these services. For demand of Service Tax, it is the submission of the appellant that they are falling within the SSI exemption limit and their turnover during the impugned period remained below the threshold taxable limit during the period. Therefore, the impugned orders are to be set aside.
(3.)ON the other hand, learned AR opposed the contention of the consultant and submits that the activity of printing of calendar, greeting cards, diaries, etc., and distribution thereof are not an activity of their business but are welfare or facilities provided to the employees. To support this contention, he relied on the decision of this Tribunal in the cases of CCE, Nagpur v. Manikgarh Cement - : 2010 (20) S.T.R. 456 (Tri. - Bom.) and Oudh Sugar Mills Ltd. v. CCE, Lucknow - : 2012 (282) E.L.T. 541 (Tri. - Del.) : 2014 (34) S.T.R. 309 (Tri.). For demand of Service Tax, he submits that the appellant is big organization and have multifarious business activities and it is not possible that the value of taxable service of whole organization is less than the threshold limit. Therefore, the appellant is liable to pay service tax on this service.
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