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TMI Blog2015 (5) TMI 1001X X X X Extracts X X X X X X X X Extracts X X X X ..... n the freight charges for transportation of goods from the depot of the respondent to its buyer's premises will not be eligible for Cenvat benefit, because as per Section 4(3)(c) of Central Excise Act, 1944, in case of a manufacturer of excisable goods, the 'place of removal' is either the factory gate, or the depot from where the goods are sold to the customer; and not the buyer's premises where the title/ ownership of goods passed on. 2. The Ld. DR appearing for the Revenue reiterates the submissions recorded in the grounds of appeal and further submits that with regard to Commercial Invoices bearing nos. 45186444 to 45186448 all dated 31.03.2010 issued from the depot, the respondent had recovered the transportation charg ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... o take Cenvat Credit of Service Tax paid on input taxable services received by the manufacturer or service provider. The term 'Input Service' defined in Rule 2(1) of the said rules, takes within its ambit, the outward transportation charges up to the 'place of removal' for the purpose of taking Cenvat Credit. The term 'place of removal' has not been defined in the said rules. The said term has been defined in Section 4(3)(c) of the Central Excise Act, 1944 to mean a factory, depot, premises of a consignment agent or any other place or premises from where the excisable goods are to be sold after their clearances from the factory. Reading of the underlined portion makes the position clear that other than the place of r ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... to the purchaser at his door step; (ii) the seller bore the risk of loss of or damage to the goods during transit to the destination; and (iii) the freight charges were an integral part of the price of goods. In such cases, the credit of the service tax paid on the transportation up to such place of sale would be admissible if it can be established by the claimant of such credit that the sale and the transfer of property in goods (in terms of the definition as under Section 2 of the Central Excise Act, 1944 as also in terms of the provisions under the Sale of Goods Act, 1930) occurred at the said place." 8. I find that the case of the respondent is squarely covered by the decision of this Tribunal in the case of Palco Metal Ltd. vs CCE, A ..... X X X X Extracts X X X X X X X X Extracts X X X X
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