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2023 (11) TMI 469 - AT - Central ExciseCENVAT Credit - CHA Service and GTA service for outward transportation in respect of export goods, upto port of export - HELD THAT:- In case of KUNTAL GRANITES LTD. VERSUS COMMISSIONER OF C. EX., BANGALORE [2007 (3) TMI 540 - CESTAT, BANGALORE], Hon’ble Tribunal has held that place of removal for export goods is place where export document was presented to Custom office i.e. port of export. Though the said judgment is in respect of remission of duty, the ratio of judgment is applicable to present case also. The Hon’ble Gujarat High Court in the case of CENTRAL EXCISE VERSUS INDUCTOTHERM INDIA P LTD [2014 (3) TMI 921 - GUJARAT HIGH COURT] has held that in case of export of Cargo Handling Service, the Service Tax paid thereon is available as input services, as in such case, the place of removal is Port.Further, the judgment relied upon by the appellant has also allowed the credit of service tax paid on services received at the port. Board’s Circular No. 97/8/2007-S.T. dated 23-8-2007 also recognizes the situation where the place of removal can be different from the normal place of removal and in such case, the credit of service tax paid on GTA services used for transportation of goods upto place of removal is admissible. As per Section 4(3)(c)(iii) of the Central Excise Act, 1944, place of removal’ includes any other place or premises from where the excisable goods are to be sold after their clearance from the factory. As per definition of sale, a transaction is recognized as ‘sale’ only when a seller has realized or has a high chance of realizing payment against delivery of goods - In case of export goods, therefore, the place of removal has been held to be port of export and hence, credit of service tax paid on CHA service and GTA service used for transportation upto port of export is admissible. The Cenvat credit on the outward GTA and CHA is admissible - impugned order set aside - appeal allowed.
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