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2016 (7) TMI 154 - AT - Service TaxRefund of accumulated input service tax Cenvat credit. - Department denied Cenvat credit mainly stating that the activity of extraction, crushing, grinding, sorting and washing of iron ore undertaken by the assessee does not amount to manufacture under Section 2(f) of the Central Excise Act and therefore, no duty is payable under Section 3 of the Central Excise Act and the goods, therefore, cannot be termed as excisable. Held that:- In this regard, there are number of decisions of the higher Judicial Fora, wherein it has been made clear that wherever exempted products are exported outside India, provisions of Rule 6(6) (v) of the Cenvat Credit Rules, 2004, will be applicable which states that provisions of Rule 6 (1) to (4) will not be applicable for the excisable goods removed without payment of duty after they are cleared for export under bond in terms of the provisions of Rule 2 of the Central Excise Rules. Eligibility of credit on input services upto the place of removal - Held that:- here exports are on FOB basis, place of removal is port and not factory gate. Therefore, in the present case, M/s MSPL Ltd. are entitled to the Cenvat credit for all the input services for bringing the goods upto the port of shipment. Revenue's appeal dismissed - Assessee's appeals accepted - Decided in favor of assessee.
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