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2017 (10) TMI 280 - AT - Central ExciseCENVAT credit - place of removal - warehousing located in foreign country - Credit of tax paid under reverse charge for taking warehouse on rent abroad - Held that: - the ownership of the goods remain with the appellant, and some are sold to abroad from their warehouse. The appellants bore the risk of loss or damage to the goods during the transit to the warehouse and obviously the charges of freight are borne by the appellants. In these circumstances, it cannot be said that warehouse abroad is not the place of removal. Reliance placed in the case of SUNDARAM CLAYTON LTD. Versus COMMISSIONER OF CENTRAL EXCISE, CHENNAI [2014 (6) TMI 30 - CESTAT CHENNAI], where it was held that Since the warehouses were hired in the USA beyond the jurisdiction of the Indian authorities, no Service Tax can be levied and collected on such services rendered and received abroad. Since tax was not, in the first instance, payable and the appellants merely have taken credit of what was not payable by them, the impugned demand cannot be justified. Demand of credit not sustainable - appeal allowed - decided in favor of appellant.
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