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2021 (11) TMI 1108 - AT - Service TaxCENVAT Credit - scope of input and input service - period prior to as well as after 1-4-2011 - HELD THAT:- The definition of “Input” contained in Rule 2(k) ibid provided that all goods, excepting the excluded category of goods, should be considered as input for the purpose of availment of the Cenvat benefit. On perusal of the case records vis-à-vis the definition clause, it is found that the disputed inputs in this case were not falling under the excluded category of goods itemized in the said Rule - the disputed goods utilized by the appellant prior to 1-4-2011 should be considered as “Input” for availing the benefit of Cenvat credit - this Tribunal in the case of M/s. Millennia Realtors Private Limited (who is also an appellant in this case) [2020 (3) TMI 624 - CESTAT BANGALORE], has extended the Cenvat benefit on the similar inputs availed by the appellant, considering the same as input in terms of the definition provided under Rule 2(k) ibid. Cenvat credit on the input services prior to the period 1-4-2011 - HELD THAT:- The definition of “Input Service” contained in Rule 2(l) ibid provided that “activities relating to business” should be considered as input service for the purpose of availment of the benefit of Cenvat facility. In this case, the Department has not raised any objection that the appellants had availed the input services for accomplishing their business purpose. Hence, under such circumstances, denial of Cenvat benefit on the input services availed by the appellant prior to the period 1-4-2011 cannot be denied solely on the ground that the disputed services are not categorised as input services. Cenvat credit on the input services for the period after 1-4-2011 - HELD THAT:- The definition clause provided under Rule 2(l) ibid clearly provided that any service used by a provider of taxable service for providing an output service should be considered as input service. The definition clause has provided the excluded category of services, which cannot be considered as input service. On careful examination of the case records, it is found that the list of disputed services itemized in the SCNs as well as in the impugned order are not conforming to the excluded category of services finding place in the definition clause. Thus, denial of Cenvat benefit on the disputed services availed by the appellants after 1-4-2011 by the authorities below is not legal and proper and accordingly, the impugned orders are liable to be set aside. The Learned AR submitted that the appellant had not provided any evidence to show that some of the disputed services are used for the construction activities. However, on a query from the Bench as to whether the Original Authority had recorded such findings in the impugned order, he replied negatively. There are no merits in the impugned orders, insofar as the adjudged demands were confirmed on the appellant, holding that they should not be eligible for the Cenvat benefit - appeal allowed.
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