TMI Blog2011 (6) TMI 238X X X X Extracts X X X X X X X X Extracts X X X X ..... llowed, (7) Telephone Services (Land Line) - credit allowed, (8) Business Auxiliary Services - taking a hall on hire in hotel - credit allowed and (9) Maintenance and Repairs - credit allowed. - E/281 & 282/2010-Mum - A/196 - 197/11/SMB/C-IV - Dated:- 1-6-2011 - Ashok Jindal, J. For Appellant : Shri Ashish Philip, Adv. For Respondent : Shri Kishorilal, SDR Per: Ashok Jindal: The appellants are in appeal against the order of denial of certain input services credit (availed by them) on the ground that same are not input service as per rule 2(i) of the CENVAT Credit Rules, 2004. 2. The facts of the case are that the appellant are the manufacture of Electrical goods and is a 100% EOU. During the course of their business of t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... vice Amount of Credit (in Rs.) Reasons of Denial 1 Catering of services 17381 Recovered from the employees; not borne by the appellants 2 Courier services 10656 Not used for manufacture and clearance of goods up to place of removal; failed to demonstrate that the service used in relation to pre-manufacture/sales/marketing activities Maintenance and repair services 1935 Photocopying machine not related to manufacture TOTAL 29972 The input service credit was denied to the appellant on different reasons. Therefore, to deal with the issue, I have to take each service separately. 3. Both the sides ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ufacture and clearance of the goods upto place of removal and the appellants have failed to demonstrate that these services has been availed by them for their manufacturing, sales or marketing activities etc. The courier service has been availed by the appellants in their business of manufacturing. Therefore, as held by the above cited decision the input service credit on courier service is allowed. (4) Insurance Services:- The input service credit on insurance is denied on the ground that these insurance has been taken for the family members of the employees which is in nature of perquisites. I do agree with the finding of the lower appellate authority as the insurance of family members of the employees has no concern with the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... vice credit on this service has been denied on the ground that the telephone is installed outside the factory premises. The output service credit has been taken by the appellant on this telephone. It is not dispute that the telephone had not been used by the appellant in their business of manufacturing. Therefore, the credit cannot be denied merely on the ground that the said telephone installed outside the factory premises. Therefore, input service the credit is allowed. (8) Business Auxiliary Services:- The credit has been denied of the service tax paid of taking a hall on hire in hotel on the ground that the same is not related to the manufacture/business of the appellant. It is observed that this hall has been hired by the a ..... X X X X Extracts X X X X X X X X Extracts X X X X
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