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2014 (1) TMI 95 - AT - Service TaxDenial of CENVAT Credit - Availment of credit on renting of immovable property - Commissioner allowed credit - Held that:- Show Cause Notice dated 12.05.2011 it was alleged by the Department that "Rent Services" did not appear to be input services as these services are not used by the respondents directly or indirectly in or relation to the manufacture of their final products and clearance thereof and these services did not fall under the definition of "input service" under Rule 2(1)(ii) of the Cenvat Credit Rules, 2004. Renting of immovable property services received by the respondent are covered in the definition of input services. On going through the case records, I find that eligibility of CENVAT credit of renting services was already accepted by the original authority and the same was not challenged before the Commissioner (Appeals) by the Department. The original authority has denied the benefit only on the ground that renting of the property was located on different address than that of the registered premises of the respondents. The respondents have produced copies of the invoice issued by their address located at Gurgaon before the adjudicating authority and Commissioner (Appeals) in support of their contention that the manufacturing activities were taking place on that premises also. Therefore, since that activity of manufacture was taking place in the premises at Gurgaon benefit of CENVAT credit cannot be denied to the respondents - Decided against Revenue.
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