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2023 (9) TMI 65 - AT - Central ExciseCENVAT Credit - input service - Bus Transportation Charges’ being in the nature of Rent-a-cab service - Mainly the case of Revenue is that after the amendment in Rule 2(l) ibid w.e.f.1.4.2011 rented/contracted bus service has been expressly excluded from the definition of input service and the said service is no longer eligible for taking credit w.e.f. 1.4.2011 - HELD THAT:- Taking into consideration the amended definition of Rule 2(l) ibid and in particular Rule 2(l)(B) ibid it has been held by the Hon’ble High Court in SOLAR INDUSTRIES INDIA LIMITED. VERSUS THE COMMISSIONER, CENTRAL EXCISE, CUSTOMS AND SERVICE TAX, NAGPUR [2021 (12) TMI 1047 - BOMBAY HIGH COURT] that the transportation of employees for reaching factory is not an activity which could be said to be part of manufacturing activity and it is merely for personal convenience of employees to enable them to reach the premises of the factory so as to participate in the manufacturing activity which is not permitted to be treated as ‘input service’ after 1.4.2011 in view of the amended provisions. Although it has been brought to my notice that for the earlier period i.e. 2012-13 the issue has been decided in favour of the appellant in an appeal filed by the appellant before some other Commissioner (Appeals), but it is not going to help the appellant in any manner in view of the aforesaid decision of the Hon’ble High Court. In the matter of SOLAR INDUSTRIES INDIA LIMITED. VERSUS THE COMMISSIONER, CENTRAL EXCISE, CUSTOMS AND SERVICE TAX, NAGPUR [2021 (12) TMI 1047 - BOMBAY HIGH COURT], the facility of transportation provided by the appellant to its employees for reaching factory cannot be treated as input service in view of amended definition of Rule 2(l) and in particular Rule 2(l)(B) ibid which specifically excludes services provided by way of renting of motor vehicle, insofar as they relate to a motor vehicle which is not a capital goods, from the definition of input service and its merely a personal service to its employees. The impugned order is upheld and the appeal filed by the appellant is dismissed.
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