CENVAT Credit availed on input service which are used for output service cannot be denied: CESTAT

The CESTAT has ruled that "CENVAT credit availed on an input service" that is "used for an output service" "cannot be denied." The tribunal's decision, which is a significant victory for the company, was made on the grounds that the company's claim was not supported by evidence. The ruling clarifies that a tax authority can't add a tax to a company's account without a valid reason. The court’s decision is a crucial reminder to all businesses that they must be diligent in their dealings.