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2021 (12) TMI 617 - AT - Central ExciseCENVAT Credit - input services - nexus of input services used in the factory, to the manufacturing process or not - Electrical Maintenance - Maintenance of 66 KVA Power line supplying power to plant - underground water used in utility and used by workmen - Maintenance of computer hardware on shop- floor, AMC charges for desktops, laptops, scanners, etc, used in the factory - AMC charges for datamax (barcode) Printers. Electrical Maintenance Service - credit denied on the ground that the service is a work contract which is excluded within the ambit of definition of input service - HELD THAT:- This was not the charge either in the show cause notice or finding in the Order-In-Original. From this ground the Learned Commissioner (Appeals) clearly erred in denying the credit. Moreover, this service was used for Electrical Maintenance which is directly related to the manufacturing activity of the appellant, therefore, the credit is admissible. Maintenance of 66KV power line supplying power to plant - HELD THAT:- The maintenance of 66KV power line supplying power to plant has also direct use in the manufacturing activity of the appellant’s factory hence, the credit is admissible. Analysis of underground water used in utility and used by workman - HELD THAT:- This activity is to make the underground water usable by the human being. It is obligatory on the part of the manufacturer to provide treated water to their employee, therefore, it is in relation to the manufacture of final product hence, the credit is clearly admissible on this service. Maintenance of Computer Hardware on shop floor, AMC charges for Desktops, printers, Scanners, Laptop and FM service for resident engineers - HELD THAT:- The service of Maintenance of Computer Hardware on shop floor and AMC charges of various equipments such Desktops, printers and Scanners are for the purpose of manufacturing activity of the appellant and not for the personal use of the resident engineers. Merely because the engineers are resident it was wrongly presumed that all these services are for their personal use. When all the services were used within the premises of the factory it is clear that the said services are used in relation to the manufacture of final product, therefore, the credit is admissible. Appeal allowed - decided in favor of appellant.
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