TMI Blog2014 (12) TMI 498X X X X Extracts X X X X X X X X Extracts X X X X ..... insurance policy as the said service is an eligible input service and we hold accordingly. As regards the Service Tax paid on car parking rentals, the car parking is part of the business premises of the appellant and is a business expenditure. Therefore, it is an eligible input service as defined in Rule 2(l) of the Cenvat Credit Rules, 2004. The Hon’ble High Court of Bombay in the case of Ultratech Cement Ltd. [2010 (10) TMI 13 - BOMBAY HIGH COURT] held that any input service which has a nexus with the business of manufacture or relating to business would get covered under the term ‘input service’ under Rule 2(l) of the Cenvat Credit Rules and accordingly Cenvat credit on such services would be available. In view of the above we are of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he ground that they had exported the taxable output services and since they are continuously engaged in exports, they are not in a position to utilise the Cenvat credit taken on input services used in providing the output services exported. The original authority rejected an amount of ₹ 10,72,373/- in respect of the first refund claim and an amount of ₹ 1,08,188/- in respect of the second refund claim. Against the rejection, the appellant preferred an appeal before the lower appellate authority who dismissed the appeal. Hence, the appellant is before us. 3. The learned counsel for the appellant made the following submissions : 3.1 The grounds for rejection by the department are as follows : (i) Insurance services w ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f the policy covers members of the family of the employees. The said decision was also followed by the Hon ble Karnataka High Court in the case of Commissioner of Central Excise Service Tax v. Micro Labs Ltd. - 2012 (26) S.T.R. 383 (Kar.) = 2011 (270) E.L.T. 156 (Kar.) wherein it was held that group insurance health policy, though a welfare measure, is an obligation cast under the statute that the employer has to obey and, therefore, the policy taken by the employer is a service constituting activity relating to business which is covered under the input service definition. 3.2.2 Regarding the denial of Service Tax credit on Service Tax paid on rental for car parking, the learned counsel submits that the appellant has rented out premi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... , 2004. The Hon ble High Court of Bombay in the case of Ultratech Cement Ltd. [2010 (20) S.T.R. 577 (Bom.) = 2010 (260) E.L.T. 369 (Bom.)] held that any input service which has a nexus with the business of manufacture or relating to business would get covered under the term input service under Rule 2(l) of the Cenvat Credit Rules and accordingly Cenvat credit on such services would be available. In view of the above we are of the considered view that service tax paid on car parking rentals is an eligible input service under Rule 2(l) of the Cenvat Credit Rules and consequently the appellant would be eligible for refund of the same under Rule 5 of the Cenvat Credit Rules, 2004 read with Notification No. 5/2006-S.T., dated 14-3-2006. 5.3 ..... X X X X Extracts X X X X X X X X Extracts X X X X
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