9911796707
TMI Blog2007 (7) TMI 627X X X X Extracts X X X X X X X X Extracts X X X X ..... manufacturing as well as trading of footwear and its accessories. Insofar as its manufacturing activities are concerned, the applicant purchases footwear from small manufacturers in loose form and thereafter carries out the activity of packing and labelling on the said footwear. This activity amounts to manufacture under the Central Excise Act, 1944. In addition to manufacturing and selling such footwear, the applicant also trades in shoes which are manufactured by other manufacturers such as Floresheim, Red tape, Lee Cooper, etc. The bulk of its business (approximately 70%) comprises of goods manufactured and sold by it and only small portion of its turnover relates to the trading activity. For selling footwear manufactured by it, a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of removal, and includes services used in relation to setting up, 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 research, storage up to the place of removal, procurement of inputs, activities relating to business, such as accounting, auditing, financing, recruitment and quality control, coaching and training, computer networking, credit rating, share registry, and security, inward transportation of inputs or capital goods and outward transportation upto the place of removal." It was contended that the commission agents promote their sales and therefore they are entitled to Cenvat credit of service tax pa ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nce of final products as the inclusive list of the definition of input services includes services which are not directly related to manufacture such as accounting, auditing, financing, recruitment, quality control, coaching and training, computer networking, share registry, security, etc. Hence the input service credit would be admissible irrespective of whether or not the said service is used in or in relation to manufacture of finished goods. Another ground for denying the credit by the Commissioner was that the services other than business auxiliary services are common to all activities. However Commissioner instead of restricting the same to the services used for manufacturing has denied the entire credit, even though ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
