Cenvat Credit on Celebration by coaching institute for successful students after completion of coaching

Celebration by coaching institute for successful students after completion of coaching isn't an input service

HIGH COURT OF RAJASTHAN

Bansal Classes

v.

Commissioner of Central Excise and Service Tax, Jaipur-I*

AJIT SINGH AND PRAKASH GUPTA, JJ.

D.B. EXCISE (SERVICE TAX) APPEAL NO. 3 OF 2014†

MARCH  30, 2015 

Rule 2(l) of the Cenvat Credit Rules, 2004 - Cenvat Credit - Input service - Catering Services - Period 1-8-2005 to 30-9-2008 - Assessee, a provider of commercial training and coaching services, took credit of catering, photography and tent (mandap keeper) services used to encourage successful students - HELD : Celebrations are organized by assessee during academic sessions to encourage existing students and motivate new students - These services are used only after students pass commercial training or coaching classes/examination - Since these celebrations are held only after commercial training or coaching classes are over, said activities cannot be said to have been used to provide output service [Paras 5 to 8] [In favour of revenue]