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2018 (8) TMI 950 - AT - Central ExciseCENVAT Credit - input services - Banking & Financial Services regarding realisation of the export proceeds - case of Revenue is that this is a post export activity and therefore not covered under the definition of Input Service provided under Rule 2(1)(ii) of CCR, 2004 - Held that:- Realization of export proceeds is a necessary concomitant of export and therefore the same is also eligible for input service credit. Realization of export proceeds is a sine qua non of export business. Otherwise also, Banking and other financial services, although related to post export period, but are covered in the inclusive part of definition of input service in Rule 2(l) under the head “Financing”. Tribunal in the matter of Commr.of C.Ex., Delhi-III vs. Fiamm Minda Automotive Ltd. [2016 (3) TMI 64 - CESTAT NEW DELHI] has been held that the CENVAT credit of Service Tax paid on the Banking and other financial services which have been used/utilised for accomplishing the purpose of business towards payment of export clearance of the final produce, is available to the manufacturer/service provider in terms of Rule 2(l) of CENVAT Credit Rules, 2004. So far as the extended period of limitation is concerned, since on merits the case is decided in favour of the Appellant therefore there is no need to go into this issue. Appeal allowed - decided in favor of appellant.
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