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2016 (7) TMI 554 - AT - Central ExciseDenial of credit on various input services for the period September, 2011 to July, 2012 - various services including AMC of air conditioners and lifts - services non qualify as input service as per Rule 2(I) of Cenvat Credit Rules 2004 - Held that:- The air conditioners are installed in the office as well as manufacturing area to maintain adequate temperature for manufacture of good. This service can be treated an activity of modernization of factory and office of the factory premises. Therefore, the same qualify as input service as per Rule 2 (I) of Cenvat Credit Rules, 2004. Consequently, the credit on AMC of air conditioners is allowed. AMC of lifts - lifts are used for taking material from lower floors to upper floors and bringing from upper floors to lower floors of the factory premises having three floors. As the usage of lifts has been explained by the appellant that the lifts facilitate in movement of raw material and finished goods manufactured by the appellant. Therefore, the AMC of lifts has nexus with manufacture of excisable goods. Therefore, the appellant is entitled for credit on AMC of lifts as per Rule 2(I) Business tour and hotel boarding and lodging services have been used by the appellant for marketing and sale promotion of finished goods as well as procurement of raw material or capital goods. Therefore, these services are entitled for input service credit as the same is integral part of manufacturing activity. Therefore, the input service credit is allowed to the appellant. Tour and travel service has already reversed the credit on these services, therefore, the credit is disallowed as the service has been excluded from the scope of the input service with effect from 1.4.2011. Customs clearance service has been used in relation to obtaining the export incentives. Therefore, the same has nexus with manufacture and clearance of export of goods. In that circumstance, the appellant is entitled for credit. Construction service has been used for repair and maintenance of factory premises is specified as an admissible input service under Rule 2(I) of Cenvat Credit Rules, 2004, therefore, the same is allowed. Insurance service has been used for insurance of factory premises, plant and machinery and stock of goods. The said service has direct nexus with manufacturing of excisable goods. Therefore, the credit cannot be denied. Consequently the credit on the said service is allowed. Office maintenance service has been used for house keeping/maintenance of factory preemies of factory preemies as well as office of the factory located in the same premises, therefore the same is entitled for input service credit. Consequently, the credit on the said service is allowed. Photography service has been used for taking photocopies of purchase orders for procurement of raw material, despatch of documents of final product and miscellaneous documents pertaining to accounts/audit and fiancé. The said service has direct nexus with manufacturing activity of the appellant. Moreover, audit and accounting service has specifically been allowed as input service. Therefore, the credit cannot be denied. Consequently, the credit on the said service is allowed. Photography service for samples of export goods manufactured by the appellant has been used for taking for photographs of the samples of goods for procurement of export orders. The said service has direct nexus with manufacturing activity, clearance and export of goods for marketing and sale promotion. In that circumstance, the appellant is entitled to avail the credit on the said service. Professional and consultancy service has been used by the appellant for organizing a meeting of M/s. Sarita Handa, Director in foreign for export of excisable goods. The said service is used by the appellant for marketing and sale promotion of goods manufactured by them. Therefore, the said service is having a direct nexus with manufacturing activity. Consequently, the appellant is entitled to avail the credit on the said service. - Decided in favour of assessee
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