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2018 (3) TMI 238 - AT - Central ExciseCENVAT credit - place of removal - contention of the tax authorities is that the professional fees on which service tax liability has been discharged in 2012-13 pertains to activities beyond the place of removal and hence ineligible to be availed a CENVAT credit - Held that: - ‘Place of removal’ is an expression that is found in means in Central Excise Act, 1944 independently owing to assessment becoming liable to be determined upon clearance of goods from the factory of production. However, that expression cannot be considered as relevant for goods intended for export which are precluded from duty liability. In the context of certain services such as outward transportation, judicial interpretation shifted the ‘place of removal’ from factory to the port of export. The eligibility for incentives on completion of export formalities is consistent with the ‘place of removal’ being the port of export. Exports are the culmination of production activity and are the motive force for production. Accordingly, the denial of entitlement for CENVAT credit on the ground that there is no nexus with manufacturing activity will not sustain. Credit allowed - appeal allowed - decided in favor of appellant.
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