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2016 (9) TMI 942 - CESTAT NEW DELHI

2016 (9) TMI 942 - CESTAT NEW DELHI - TMI - Cenvat credit - Structural Fabrication and water proofing - used for repair, replacing and maintaining of plant and building on a regular basis - Held that:- in view of the decisions of Tribunal in the case of Cargill India Pvt. Ltd. vs. CCE & ST, Bangalore - I [2015 (3) TMI 336 - CESTAT BANGALORE] and Triveni Engg. & Industries Ltd. vs. CCE, Meerut I [2015 (7) TMI 546 - CESTAT NEW DELHI], the appellant is entitled to the Cenvat credit on services used .....

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the factories to accommodate employees are required for smooth functioning of the factories in remote areas. Moreover such expenses incurred for construction of township for the employees is in relation to the business activities of manufacturing final products. Similar views have been taken by the Hon’ble High Court of Andhra Pradesh in the case of CCE, Hyderabad III vs. ITC Limited [2011 (11) TMI 516 - ANDHRA PRADESH HIGH COURT] and also by the Tribunal in the case of Ultratech Cement Ltd. vs .....

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h as the roads are constructed within the factory premises, they are used for the movement of inputs semi-finished and finished goods within the factory and, hence, are covered within the definition of input service, as has been held by the Tribunal in the case of CCE, Salem vs. ITC Ltd. [2011 (2) TMI 656 - CESTAT, CHENNAI]. - Cenvat credit - Outdoor Catering - maintenance of canteen for their employees - Held that:- the issue stands settled in their favour in their own case. Therefore, the .....

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redit - Other services - demand of service tax of ₹ 13,904/- has been pressed by Revenue without specifying the service for which it has been availed - Held that:- in as much as the demand is not attributable to any specific service and no specific grounds have been discussed by the authorities below for denying such credit, I find no reasons to sustain the demand and, hence, it is set aside. - Decided in favour of appellant - Excise Appeal No. 52460 of 2016 (SM) - Final Order No. 53595/20 .....

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emanded reversal of Cenvat credit to the tune of ₹ 18,15,244/-, availed by them. The disallowance was ordered under Rule 14 of the Cenvat Credit Rules, 2004 readwith proviso to Section 11A of the Central Excise Act, 1944, alongwith payment of interest and levy of penalty of equivalent amount. When the order-in-original was challenged before the First Appellate Authority, he allowed the Cenvat credit of various services total to the extent of ₹ 14,35,168/-. He, however, upheld the ord .....

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or transportation of inputs, semi-finished and finished goods within the factory 4. Outdoor Catering 38,256 Maintaining Canteen for employees statutory obligation under Factories Act, 1948, since more than 250 workers employed in the factory. 5. Rain Water Harvesting 6,421 For making available water in the factory, which is an important input Statutory obligation to conserve rain water in the state of Rajasthan. 6. Other Services 13,904 Services generally used in or in relation to manufacture 2. .....

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egular basis. The Cenvat credit in these services have been disallowed as they do not fall under the definition of input service. Further it has been held in the impugned order that structural and construction services are not admissible in view of the exclusion clauses inserted in the definition of input service w.e.f. 01/4/2011. The appellant claim is that these services would be covered under the inclusive clause of the definition of input services under Rule 2 (l) of the Cenvat Credit Rules; .....

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the appellant is that the services were used in relation to maintenance and repair of factory and office related to factory. She produced one of the invoices and on going through the invoice, I find that the claim of the learned counsel is correct. In view of the above, the appellant is able to make out a case on merits for eligibility of Cenvat credit and accordingly the appeal is allowed with consequential relief, if any . In the light of the above, I am of the view that the appellant is entit .....

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bai reported in 2016 (42) S.T.R. 457 (Tri. Mumbai) ; and (b) Ultratech Cement Ltd. vs. CCE, Jaipur II vide Final Order No. A/51417/2015 SM (BR) dated 08/04/2015. (c) CCE, Hyderabad III vs. ITC Limited reported in 2013 (32) S.T.R. 288 (A.P.) I have gone through the above case laws. In the case of Reliance Industries Ltd. (supra) such services have been allowed as input services since the residential colonies near the factories to accommodate employees are required for smooth functioning of the fa .....

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ind that the issue is no more res-integra and stands settled in favour of the appellant. Accordingly, the credit of service tax paid for construction of residential facility is allowed. (3) Construciton of road within the factory premsies :- The credit stand disallowed for the reason that such services are not covered by the definition of input services. However, the appellant has argued that the roads constructed within the factory premises are used for transportation of inputs, semi-finished a .....

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vement of inputs semi-finished and finished goods within the factory and, hence, are covered within the definition of input service, as has been held by the Tribunal in the ITC Ltd. case. (4) Outdoor Catering :- The credit has been taken for the maintenance of canteen for their employees and its claim as a service used in or in relation to the manufacture. It stands disallowed in the impugned order for the reason that catering service has been specifically excluded from the definition of input s .....

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