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2009 (11) TMI 142 - AT - Service TaxCenvat Credit- Input services- The assesee availed the Cenvat Credit of service tax paid on (a) construction service,(b) repair and maintenance service, (c) manpower recruitment service, and (d) clearing service, all of which were provided by the respective service providers at the residential colony outside the assessee’s factory. The employees of the assessee reside in the said colony. The residential building were constructed, old residential buildings were repaired and maintained, security guards for the colony were recruited by a manpower recruiting agency. The adjudicating authority held the said services to be outside the purview of the definition of ‘input service’ given under rule 2(l) and accordingly disallow the Cenvat Credit. Commissioner (Appeals) allowed the Cenvat Credit. In the light of the decision of Maruti Suzuki Ltd. v. CCE 2009 -TMI - 34348 - SUPREME COURT held that- as the assessee has not established nexus between any of the four services and the manufacturer or clearance of excisable goods, the benefit of Cenvat Credit in respect of such service cannot be allowed. But no penalty is imposed. The appeal is disposed of.
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