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2014 (3) TMI 984 - CESTAT NEW DELHIDenial of CENVAT Credit - Capital goods - services availed for setting up of the factory - Held that:- It is only with effect from 1-4-2011 by amendment to the Rule 2(l) that words ‘setting up’ were omitted. The period of dispute in this case is from 2008-2009 to 2009-2010 i.e. the period prior to 1-4-2011 when the definition of “input service” specifically included the services used in relation to setting up of the factory or premises of the provider of output service. Thus the services, in question, used for setting up of factory have to be treated as input service and would be eligible for Cenvat credit, as the factory has been setup for manufacture of final products which are liable to Central Excise duty. Therefore denial of Cenvat credit, in question, is contrary to the provisions of Rule 2(l) of Cenvat Credit Rules, 2004. We find that the same view has been taken by the Tribunal in the case of Bellsonica Auto Component India Pvt. Ltd. (2014 (3) TMI 876 - CESTAT NEW DELHI) and also in the case of Madhusudan Auto Ltd. (2011 (4) TMI 554 - CESTAT, NEW DELHI). The impugned order, therefore, is not sustainable - The same is set aside - Decided in favour of assessee.
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