TMI Blog2017 (4) TMI 1021X X X X Extracts X X X X X X X X Extracts X X X X ..... is allowed - The services for manpower is received for the purpose of railway track maintenance which was held to be admissible - House Keeping services were used for keeping the premises clean. Similarly, gardening services, accommodation services, erection & commissioning services, insurance services and PF reimbursement services were held to be eligible. Out of the total amount of ₹ 6,04,875/- in regard to services received for construction of compound wall, it is submitted by the appellant that ₹ 84,587/- pertains to the credit availed after 01.04.2011. In the case of M/s Nirma Ltd. Vs. CCE & ST, Vadodara-I [2013 (7) TMI 46 - CESTAT AHMEDABAD], the Tribunal discussed the eligibility for the period prior to 01.04.2011 and has held that credit on services relating to construction of compound wall is eligible - except for the amount of ₹ 84,587/- the credit in respect of the services relating to construction of compound wall is eligible for credit. Appeal allowed - decided partly in favor of appellant. - E/20728/2014 - A/30359/2017 - Dated:- 15-2-2017 - Ms. Sulekha Beevi, C.S., Member (Judicial) Sh. G. Prahlad, Advocate for the Appellant. Sh. M ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 3. Trailer/Truck Loading Machine These machines are used for loading of cement bags into trailer/trucks. 4. Cable Galleries Fabricated with structural steel like angles, channels, beams, MS Plate, Chequered Plate for supporting the Cable trays from Load Centre to Packing Plant. 5. Unloading Machine Bucket Elevator Supporting structure of Platform and stair case upto 30 mtrs height. 6. Silos Silos are used for storing cement. They are in the nature of storage tanks. The details of the quantity of iron steel used for fabrication as well as credit availed on this is shown as under: Details of Iron Steel Qty (MT) Amount of CENVAT Credit involved Whether CENVAT credit availed Iron and steel items used for Civil Consumption Pre 07.07.2009 1166.69 Rs.62,69,293 NO Iron and Steel items used for Fabrication Erec ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ll Rs.6,04,875/- Horticulture Rs.95,293/- Lahari Resorts (Accommodation Service) Rs.8,279/- Wagon shed I II fabrication (erection Commissioning service) Rs.28,809/- Erection of Street Pole (erection Commissioning service) Rs.8,253/- Insurance services Rs.4,628/- PF reimbursement (Manpower services) Rs.51,720/- 5. The Ld. Counsel was fair enough to concede that an amount of ₹ 498/- is availed in respect of rent-a-cab services for the period after 01.04.2011 and that the same is not eligible for credit. Similarly, an amount of ₹ 84,587/- pertains to credit availed on services relating to construction of compound wall and that the same is not eligible for credit post 01.04.2011. 6. Against this, the Ld. AR Sh. M. Chandra Bose, reiterated the findings in the impugned order. He submitted that the MS items do not fall under the definition of capital goods and therefore the authorities below have rightly disallow ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... (i) TRF Ltd Vs CCE Bhopal 2002(143) ELT 161 (Tri) (ii) Blue Star Ltd Vs CCE Jaipur-2002(143) ELT 391 Tri) (iii) CC M Chennai Vs Alstom Ltd-2007 (207) ELT 474 (tri-Chennai). 9. From the above, I hold that the findings of the lower authority are acceptable. The goods fabricated by the appellant by using the iron and steel are immovable property, thus cannot be termed them as capital goods. Hence, the demand of recovery of CENVAT credit taken on Angels, Channels, Plates etc. is sustainable. The appellant in their submissions cited Hon ble Supreme Court judgement in case of CCE Vs Rajasthan Spinning Mills Ltd - 2010(255) ELT 481 (SC) wherein held, while considering the provisions for the earlier period allowed the credit availed on steel and panels and MS channels used for manufacture of chimney which was part of the DG set. From the judgement, I find that the Hon ble Supreme Court held that CENVAT/Modvat - Capital Goods - Pollution control equipment, accessories therefore - Any equipment used for getting rid of effluents to be treated as accessory to specified capital goods and credit thereon admissible - Rue 57 Q of erstwhile Central Excise Rules, 1944 - Rule 2(a)( ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ng to construction of compound wall is eligible. The relevant paragraph is reproduced as under: 7. So far as admissibility of CENVAT credit on construction services utilized for construction of compound wall around the factory is concerned, it is observed that during the relevant period, construction services utilized for establishing the factory were eligible for CENVAT credit. A compound wall around the factory is essential to demarcate the registered factory premises and also to save the manufactured goods from pilferage and potential clandestine removal. Such a compound wall has to be considered as essential element for the completion of factory and an activity in relation to manufacture of excisable good. Accordingly, services utilized for construction of such compound wall will be eligible for CENVAT credit as input services under Rule 2(1) of the CENVAT Credit Rules. This view is also supported by the judgement of CESTAT, Mumbai in the case of CCE, Pune-II V. Raymond Zambaiti Pvt. Ltd (supra), relied upon by the Appellant. From the above, I hold that except for the amount of ₹ 84,587/- the credit in respect of the services relating to construction of compou ..... X X X X Extracts X X X X X X X X Extracts X X X X
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