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CUSTOM EXCISE & SERVICE TAX APPELLATE TRIBUNAL, MADRAS
MS. JYOTI BALASUNDARAM, J.
A.N. Palaniappan -Appellant
Versus
Commissioner of Central Excise, Trichy -Respondent
FINAL ORDER NO. 765/2010 APPEAL NO. ST/551/2009
Decided On : 09-07-2010
R. Janardhanan Pillai,C. Rangaraju
The benefit of Notification No. 12/2003-S.T., dated 20-6-2003 has been denied to the assessees.
2. I have heard both sides. I find that the benefit is admissible to materials such as patches etc. consumed during the course of carrying out the activity of retreading of tyres (the activity liable to tax is under the heading ‘Maintenance and Repair Services’), in the light of the Apex Court’s decision in Commissioner v. Shilpa Color Lab 2009 (14) S.T.R. J163 which has been followed by the Tribunal in a series of decisions including Chakita Ranjini Udyam v. CCE, Mysore 2009 (16) S.T.R. 172. The adjudicating authority having accepted that the assessees were paying sales tax on the materials consumed obviates the necessity for remanding the for verification as to whether sales tax liablity has been discharged by the assessees.
3. Following the ratio of the decisions cited supra, I set aside the impugned order and allow the appeal.
