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TMI Blog2019 (2) TMI 1294X X X X Extracts X X X X X X X X Extracts X X X X ..... mon order. The details of both the appeals are as under:- Appeal No. Period Ineligible CENVAT credit Interest and penalty E/21675/2018 07/2013 to 02/2014 Rs.19,42,122/- Interest under Rule 14 Penalty Rs. 19,42,122/- under Rule 15(2) penalty Rs. 15,000/- under Rule 15(1) E/21674/2018 03/2014 to 12/2014 Rs.1,74,997/- 2. Briefly the fact of the present case are that the appellants are manufacturers and exporters of various moulded rubber and plastic products and also holders of service tax registration under the category of Business Auxiliary Service, Transfer of Goods by roads, Business or Management Consultant Services, Supply of Tangible Goods Service and other taxable services. The appellants have availed CENVAT credit of servi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... as contained in CCR. Thereafter the learned counsel referred to the definition of input service and submitted that the sales promotion is included in the inclusive part of the definition of input service and hence the activity of sales promotion if widely considered is not limited to a specific activity. He further submitted that both the authorities have misinterpreted the law laid down in the case of CCE Vs. Cadila Health Care Ltd. [2013(30) STR 3]. He further submitted that in the present case, the foreign agent promotes the product of the appellant and the products are produced as per the requirement of the customer and therefore the agent performs the services of the promotion of the product also. He further submitted that this issue i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ions of both the parties and perusal of the evidence on record and after going through the various decisions cited supra, I am of the considered opinion that the impugned order is not sustainable in law and the case of the appellant is squarely covered by the various decisions cited supra. Further, I find that the sales commission is directly attributable to sales of the products. Any activity which amounts to sale of the products is deemed to be sales promotion activity in the normal trade parlance. The commission is paid on sales of the products/services with an intention to boost the sale of the company. In view of the same, the sales commission has a direct nexus with the sales which in turn is related to the manufacture of the products ..... X X X X Extracts X X X X X X X X Extracts X X X X
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