𝗖𝗘𝗦𝗧𝗔𝗧 𝗔𝗵𝗺𝗲𝗱𝗮𝗯𝗮𝗱 𝗥𝘂𝗹𝗶𝗻𝗴 𝗼𝗻 𝗖𝗲𝗻𝘃𝗮𝘁 𝗖𝗿𝗲𝗱𝗶𝘁 𝗳𝗼𝗿 𝗝&𝗞 𝗮𝗻𝗱 𝗦𝗘𝗭 𝗦𝗲𝗿𝘃𝗶𝗰𝗲𝘀 📢 𝗧𝗵𝗲 𝗖𝗼𝘂𝗿𝘁 𝗵𝗲𝗹𝗱: Services provided in Jammu & Kashmir and to SEZ units are not exempted services; therefore, no reversal of Cenvat credit is required. Appeal allowed.

🔍 𝗙𝗮𝗰𝘁𝘀: 𝗣𝗲𝘁𝗶𝘁𝗶𝗼𝗻𝗲𝗿: Black Box Limited 𝗜𝘀𝘀𝘂𝗲: Cenvat credit reversal not required for services in Jammu & Kashmir and SEZ; services deemed non-exempt, appeal allowed.

⚖️ 𝗝𝘂𝗱𝗴𝗲𝗺𝗲𝗻𝘁: The Tribunal held that services rendered in J&K and SEZ units are not exempt but non-taxable, with no requirement to reverse Cenvat credit under Rule 6 of the Cenvat Credit Rules, 2004. Additionally, Rule 6(3)(c) lacks a time limit for credit utilization, making the demand for reversal unsustainable.

📜 𝗖𝗮𝘀𝗲 𝗜𝗻𝗳𝗼𝗿𝗺𝗮𝘁𝗶𝗼𝗻: 𝗧𝗶𝘁𝗹𝗲: Black Box Limited vs. C.C.E. & S.T., Ahmedabad-III 𝗢𝗿𝗱𝗲𝗿 𝗗𝗮𝘁𝗲:01 March 2023 📜 This ruling reaffirms that services provided to J&K and SEZ units are excluded from the scope of exempt services, providing relief to service providers from unnecessary reversals of Cenvat credit.