Customs, Excise and Gold Tribunal - Tamil Nadu
Autoprint Machinery Manufactures (P) ... vs C.C.E. on 2 November, 2007
Equivalent citations: 2008[10]S.T.R.39
ORDER P.G. Chacko, Member (J)
1. The present application is for waiver of pre-deposit and stay of recovery in respect of an amount of Rs. 1,68,075/- which includes service tax of Rs. 1,65,250/- and education cess of Rs. 2,825/-. Similar relief is prayed for in respect of a penalty of Rs. 5,000/- also.
2. After hearing both sides, I note that the appellants were availing the service of installation and training from their sister concern viz. M/s. Autoprint Customer Care Pvt. Ltd. (ACC, for short) in respect of installation of their products (printing machines) at buyer's premises during the period of dispute. M/s. ACC paid service tax on the consideration received for the said service from the appellants. The burden of this tax was passed on to the appellants, who took credit thereof for payment of duty of excise on printing machines. The question is whether the aforesaid service of installation and training was an "input service" for the appellants. Ld. consultant has pressed for an affirmative answer to this question, in view of Coco Cola India Pvt. Ltd. v. CCE, Pune 2007 (5) S.T.R. 199 (Tri.-Mumbai), wherein a prima facie view was taken to the effect that advertisement relating to final product fell within the ambit of the definition of the input service.
3. The facts of the present case, however, are not exactly similar to those of the case cited by consultant. It is not in dispute that service of installation and training had no relation to the manufacture of printing machines. The argument of ld. consultant is that the service, being in the nature of sales promotion, could be considered to be falling within the ambit of inclusive part of the definition of "input service" under the CENVAT Credit Rules, 2004. Ld. consultant is yet to elaborate the point to a convincing extent. I have heard ld. SDR also.
4. In the above circumstances, the appellants will have to make a reasonable pre-deposit. Accordingly, I direct them to pre-deposit an amount of Rs. 1,00,000/- (Rupees One lakh only) within 4 weeks and report compliance on 7-12-2007.
(Dictated and pronounced in open Court)