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2023 (8) TMI 1314 - AT - Central ExciseCENVAT Credit - input services - nexus with the manufacture goods - Way Bill Generation - Belt Jointing Services - H.O. Rent - H.O. Car Parking - H.O. other Services - penalty u/s 11AC of CEA. Belt Jointing Services - HELD THAT:- Admittedly the Appellant has cleared the Conveyer Belts in CKD and the same is installed at the premise of the buyer - the Appellant has cleared the goods to the buyer in CKD from the factory premises, “the place of removal” in this case would be that of the Appellant’s factory only. Therefore, the Belt Joining Services used by the Appellant at the buyers’ end, would not be an eligible service for taking Cenvat credit. The provision that the Cenvat credit would be eligible only “up to the place of removal” has come into effect from 01.04.2011. Therefore, in this case if any of the demand is on account of input services towards Belt Joining Services were received prior to 01.04.2011, they would be eligible for the Cenvat credit. This fact is required to be verified by the Adjudicating Authority and should be allowed by him in such cases. Way Bill Generation - H.O Rent - H.O Car Parking - H.O other Services - HELD THAT:- The input services used are essential for carrying out the business activities of the Appellant. Therefore, they are eligible for the Cenvat credit only. The appeal to this extent is allowed. Thus, no case of suppression has been made out by the Department. Further, it is seen that in respect of four out of the five services, it has been held that the Appellant is eligible for Cenvat credit. Even in the case of Belt Jointing Services, the amendment came into effect only from 01.04.2011 only. Therefore, the penalty imposed under Section 11AC is not called for and the same is set aside. Appeal disposed off.
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