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2014 (7) TMI 1013 - AT - Service TaxDenial of CENVAT Credit - GTA Service - Whether in respect of clearances from the factory gate directly to the customers the appellant would be eligible for cenvat credit in respect of GTA services availed for transportation of cement upto the customer’s premises - Held that:- the prima facie the definition of ‘place of removal’ in Section 4 of the Central Excise Act, 1944 can be adopted for the purpose of Cenvat Credit Rules, 2004 only in those cases where the final product is chargeable to duty at an ad valorem rate on the value determined under Section 4 i.e. when the provisions of Section 4 are applicable for determining the duty leviable on the goods and the definition of ‘place of removal’ in Section 4 would not be applicable for the purpose of Cenvat Credit Rules, 2004 when the final product is chargeable to duty at a specific rate or of at ad valorem rate, on the value determined under Section 4A or on tariff value fixed under Section 3(2). Prima facie when the rate of duty on the final product is specific, the definition of ‘place of removal’, as given in Section 4, which is only for the purpose of this section, cannot be adopted for the purpose of Cenvat Credit Rules and in such cases, the place of removal would be the place on removal from which duty is payable on the goods, which in this case, would be the factory gate. Therefore, the Appellant cannot be said to be having prima facie case in their favour and some conditions have to be imposed for safeguarding the interests of Revenue. - stay granted partly.
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