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2015 (10) TMI 1693

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..... the same is not be in relation to manufacture. Similar views have been taken by the court’s in relation to Pollution Control Activity where these services are required to be provided statutorily under the Pollution Control Act and the Factories Act. - Cenvat Credit with respect to medical facilities provided statutorily under the Factories Act 1948 will be admissible - Decided in favour of assessee. - Appeal No. : E/1052/2011 - ORDER No. A/10823 / 2015 - Dated:- 12-6-2015 - Mr. H.K. Thakur, J. For Assessee : Shri Willingdon C, Advocate For Revenue : Shri G P Thomas, Authorised Representative Per : Mr. H K Thakur; This appeal has been filed by the appellant against OIA No dt 26.7.2011 under which the first Appellate Aut .....

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..... the High Court to eligible for Cenvat Credit. i) CCE, Ahmedabad I vs Ferromatik Milacron India Ltd - 2011(21)STR.8(Guj) ii) CCE, Bangalore II vs Millipore India Pvt Ltd - 2012(26)STR.514(Kar.) 2. Shri G P Thomas, Authorised Representative, appearing on behalf of the Revenue strongly defended orders passed by the lower authorities and argued that the medical facilities of the Male Nurse are not only provided in the factory but are also provided in the residential colony of the staff. It was his case that such services provided to the appellant has no nexus to the manufacturing activity and that Cenvat Credit has been correctly denied by the First Appellate Authority. 3. Heard both sides and perused the case records. It is the cas .....

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..... ervice is admissible. Para 6 of this case law is relevant and is reproduced below: 6.As noted hereinabove, under the provisions of Section 46 of the Factories Act, it is mandatory for the employer to provide canteen services to the staff. Thus, provision of canteen services is a statutory requirement. Provision of canteen services being indispensable, it is incumbent on a manufacturer of goods, to provide the same if he desires to run his factory. In view of the definition of input service which means any service used by the manufacturer, whether directly or indirectly, in or in relation to the manufacture of final products, the input service does not have to used directly in the manufacture of final products, it may be a service w .....

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..... tain their factory premises in an eco-friendly, manner, certainly, the tax paid on such services would form part of the costs of the final products. In those circumstances, the Tribunal was right in holding that the service tax paid in all these cases would fall within the input services and the assessee is entitled to the benefit thereof. In that view of the matter, we do not see any infirmity in the order passed by the Tribunal. Accordingly, the substantial questions of law framed in this appeal are answered in favour of the assessee and against the revenue. The appeal is dismissed. 5. The ratio laid down by the above relied upon case laws support the view that Cenvat Credit with respect to medical facilities provided statutorily unde .....

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