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2017 (8) TMI 1378 - AT - Central ExciseCENVAT credit - input services - services for personal use of employees - tax paid to providers of transport service for staff - outdoor catering services - Circular no. 943/4/2011-CX dated 29th April 2011 of Central Board of Excise & Customs stating that The principle is that cenvat credit is not allowed when any goods and services are used primarily for personal use or consumption of employees - Held that:- The disallowance of CENVAT credit by the lower authorities is not order. Reliance placed in the case of M/S. MARVEL VINYLS LTD. VERSUS C.C.E. INDORE [2016 (11) TMI 1126 - CESTAT NEW DELHI], where it was held that the interpretation of the lower authorities that motor vehicle are not capital goods for the services recipient cannot be appreciated in as much as motor vehicles are admittedly capital goods in terms of the Rule 2 (A) of Cenvat Credit Rules - credit of tax paid to providers of transport service for staff allowed. In Hindustan Coca-Cola Beverages Pvt. Ltd. v. Commissioner of Central Excise Nashik [2014 (12) TMI 596 - CESTAT MUMBAI], it was held that even the Government while issuing the budget clarification or subsequent circular has clarified that what is not eligible is that service which is meant for personal use or consumption by an employee or the cost of which is included as part of salary of the employee as a cost to company basis - Cenvat credit on outdoor catering services allowed. Appeal allowed - decided in favor of appellant.
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