TMI Blog2015 (5) TMI 918X X X X Extracts X X X X X X X X Extracts X X X X ..... s" were not defined in the Rules of 2002. In such circumstances it cannot be said that there is any corresponding Rule in Rules of 2004 which can be said to have been saved. - Commissioner (Appeals) has rightly come to the conclusion that Rules 2002 would not be applicable to the facts of the present case. Such finding has been confirmed by the Appellate Tribunal by holding that circular of 2003 would not be applicable to defeat the credit availed of by the respondent. - expenses of mobile phones are in connection with manufacturing process of the respondent. In such circumstances, we find that both the substantial questions of law framed by this Court are to be answered against the appellant. - Decided against Revenue. - EXCISE APPEAL NO. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... included for the purpose of holding that such services are Input Services. The learned Counsel has thereafter taken us through the definition of the word Output Services at Rule 2(p) of 2004 to point out that the mobile phones have not been included therein. The learned Counsel further submits that the reason for not including mobile phones for such credit, according to her, is because mobile phones are not installed in the premises of the respondent. The learned counsel has thereafter taken us through the order passed by the Commissioner (Appeals) as well as Customs, Excise Service Tax Appellate Tribunal (CESTA) to point out that both the authorities have failed to examine the saving clause to come to the conclusion that the circular o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ntions raised by the learned counsel appearing for the appellant it would be appropriate to quote the provisions of Rules 16 of 2004 Rules. Said Rule 16 reads thus:- (1) Any notification, circular, instruction, standing order, trade notice or other order issued under the CENVAT Credit Rules, 2002 or the Service Tax Credit Rules, 2002, by the Central Government, the Central Board of Excise and Customs, the Chief Commissioner of Central Excise or the Commissioner of Central Excise, and in force at the commencement of these rules, shall, to the extent it is relevant and consistent with these rules, be deemed to be valid and issued under the corresponding provisions of these rules. (2) References in any rule, notification, circular, inst ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... urts below. 10. For the sake of convenience we reproduce the definition of Input Services defined under Section 2(l) of Rules, 2004 and Output Services defined under Section 2(p) Rules,2004 which read as under:- ' Input Service means any service- (i) used by a provider of [output service] for providing an output service; or (ii) used by the manufacturer, whether directly or indirectly, in or in relation to the manufacture of final products and clearance of final products upto the place of removal, and includes services used in relation to modernization, renovation or repairs of a factory, premises of provider of output service or an office relating to such factory or premises, advertisement or sales promotion, market re ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... etic and plastic surgery, membership of a club, health and fitness centre, life insurance, health insurance and travel benefits extended to employees on vacation such as Leave or Home Travel Concession, when such services are used primarily for personal use or consumption of any employee;] Output Service means any service provided by a provider of service located in the taxable territory but shall not include a service,- (1) specified in section 66D of the Finance Act, or (2) where the whole of service tax is liable to be paid by the recipient of service.' 11. Considering the definition of word Input Services in 2(l) of the Rules of 2004, any expenditure incurred in the manufacturing activity would be entitled for credit ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
