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2020 (7) TMI 414 - AT - Central ExciseCENVAT Credit - input services - Renting of Immovable Property Service - service tax paid under the deeds for infrastructure development agreement, lease deed and subsequent maintenance on which service tax was paid by the input service provider under the head of renting of immovable property service - effect of amendment with effect from 01.04.2011 - HELD THAT:- As can be seen from the three components of the definition of input service under Rule 2(l) of CENVAT Credit Rules 2004, the initial part says that any service used by a service provider in connection with provision of output service or by a manufacturer in or in relation to manufacture of the final products whether directly or indirectly is covered under the definition of input service - This definition has been further enlarged by adding several other input services such as those services used in relation to setting up, modernisation renovation etc. The terms “setting up” has been deleted with effect from 01.04.2011 and hence was not on the Statute during the relevant period - The third part of the definition excludes certain types of services and this exclusion part of the definition also does not have in it, the services used in setting up of the plant. The services used in relation to setting up of a plant are neither specifically included nor specifically excluded during the relevant period. That takes us to the main part of the definition which, with respect to manufacturer allows CENVAT credit of services used in or in relation to manufacture whether directly or indirectly. This definition is wide enough to cover in its compass any services used for setting up a Plant especially when the services are used for obtaining the land on lease - there is a direct nexus between the manufacture of the final products and the services used for setting up of plant by leasing the land. The appellant is entitled to CENVAT credit of the disputed amounts and the impugned order needs to be set aside - Appeal allowed - decided in favor of appellant.
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