CESTAT Rulings


Upholds MRP valuation for mono-cartons containing sachets; Legal Metrology Dept.'s clarification binding

CESTAT upholds MRP valuation of mono cartons containing 6-8 Powder Hair Dye sachets u/s 4A as ‘retail packages’, instead of transaction value based u/s 4 of Central Excise Act, 1944; Rejec...View More

Refund of erroneous tax on residential rental income subject to limitation, unjust-enrichment

CESTAT dismisses assessee’s appeal contesting the denial of refund in respect of service tax erroneously paid on rental income from residential property, on ground of limitation; Rejects assesse...View More

Refund not deniable where 'export' established, advisory services ultimately used in India 'inconsequent' 

CESTAT allows refund claim of unutilized input service tax credit against export of ‘investment advisory service’ used and received by recipient of service located outside India; Accepts a...View More

Passenger-service fee & airport taxes collected by Airlines, outside "air travel services" value

CESTAT sets aside service tax demand on passenger service fees (PSF) and airport taxes collected by airlines as part of ‘air ticket charges’; Notes that PSF and airport taxes are a statuto...View More

Revenue cannot dispute input services admissibility while processing 'Rule 5' CENVAT credit refunds

CESTAT dismisses Revenue appeals seeking rejection of CENVAT credit refund under Rule 5 of CENVAT Credit Rules (CCR) absent nexus between input & output services; Observes that once sanctioning au...View More

Repacking & labelling purchased automobile parts before export, constitutes "manufacture"; Allows input credit

CESTAT holds that unpacking of automobile parts procured from vendors, applying anti-rust treatment, grouping, repacking and labelling them in carton box / wooden box / metal pallet before exporting t...View More

Rules on pre-deposit quantum; 10% independent of 7.5% deposited during first appeal 

CESTAT Larger Bench rules on quantum of pre-deposit as mandated u/s 35F of Central Excise Act and Section 129E of Customs Act, holds that second right of appeal before Tribunal is independent of first...View More

Marketing of branded goods by purchaser cannot disentitle SSI exemption to manufacturer

CESTAT extends SSI exemption under Notification Nos. 175/88-CE and 1/93-CE on heating elements manufactured under brand name ‘Calrod’ despite product being marketed by another entity viz. ...View More

Credit exigible to Indian arm, for service by overseas entity, when assessee same 

CESTAT allows CENVAT credit of input services, such as IPL broadcasting rights service by BCCI, program production services, etc. received by assessee located outside India (i.e. Singapore) for discha...View More

Larger Bench to decide taxability of 'operating' vs 'arranging' of "outbound tours" 

CESTAT rules on taxability of services of planning, scheduling, organizing or arranging of outbound tours as “tour operator services” u/s 65(105)(n) r/w 65(115) of Finance Act, finds Delhi...View More