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2016 (5) TMI 1068 - AT - Central ExciseEligibility to take credit of service tax on the freight expenses incurred towards export outward transportation of goods manufactured - recovery of the credit availed on input services such as outward freight - Held that:- By following the ruling of this Tribunal in the case of Hyundai Motors [2016 (1) TMI 519 - CESTAT CHENNAI], to hold that the appellants are eligible for credit. By also following the ruling of this Tribunal in the case pertaining to M/s Lucas TVS Limited cited [2016 (4) TMI 189 - CESTAT CHENNAI], the credit availed by the appellant on outward transportation of export of goods is eligible. In view of the settled legal position and in view of the above case laws and the Circular, it is of the view that Port is to be construed as the "place of removal" for the purpose of exports. As regards customs house agent service and wharfage charges, the same are eligible for cenvat credit in view of the nexus in existence between the goods manufactured and the services under dispute which are essential for export, the same is qualified for credit. Having decided that the place of removal is the Port, hold that the appellants are eligible for cenvat credit on GTA, CHA and wharfage charges. Since credit is held to be eligible for the appellants, levy of penalty is also set aside. - Decided in favour of assessee
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