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2018 (2) TMI 1487 - AT - Central ExciseCENVAT credit - common input services for all divisions - whether the appellant are entitled for the CENVAT credit on common input services namely gardening, canteen, premises maintenance, housekeeping, fire protection etc. for all divisions situated in the premises at Kanjur Marg? - Held that: - except outdoor catering services, all other services are used in or in relation to the running of the factory which is engaged for production of final product, therefore services received are admissible for inputs credit - there is no dispute, it is common amenities such as gardening, canteen, premises maintenance, housekeeping, fire protection etc. which are commonly used for all the divisions located in the premises of the appellant’s factory. Therefore it is evident that the entire service was not used by the appellant themselves but part of the services was attributed to other divisions. Even as per Rule 7 of CENVAT Credit Rule, if the common services are related to various units of one company the same should be distributed as per turnover of individual unit. On this analogy also though the appellant are entitled for the CENVAT credit but not for the whole of the credit but only to the extent it is attributed to the turnover of the appellant’s unit - it needs to be re-quantified in accordance with the turnover of the appellant’s unit vis-a-vis total turnover of all the units - matter on remand. Outdoor catering services - Held that: - the outdoor catering service is provided for the personal consumption of the employees. As per the exclusion clause in the definition of ‘input service’ the outdoor catering service used for personal consumption of the employee is clearly excluded therefore the appellant is not entitled for CENVAT credit in respect of outdoor catering services - credit not allowed. Partly decided against appellant and part matter on remand.
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