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TMI Blog2019 (10) TMI 812X X X X Extracts X X X X X X X X Extracts X X X X ..... f M/s Parle Products Pvt. Ltd and discharged excise duty on MRP based valuation after deduction of permissible abatement from MRP. They received outward transportation service from transporter for goods cleared from their factory up to depot of M/s Parle Products Pvt. Ltd. The transportation charge was borne by the appellant. They availed cenvat credit of service tax paid on such outward GTA service. The principle and appellant have followed the procedure as laid down in para 1 clause (ii) of Notification No. 36/2001- CE (NT) dated 26.06.2001 according to which the appellant is required to pay duty on the value declared by the principle under Section 4 or Section 4A of the Central Excise Act, 1944. Following the said procedure, the appellan ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... dgment dated 16.07.2019 in case of CCE-Jaipur-I Vs. M/s Mound Trading Company Pvt. Ltd. * Lao More biscuits Pvt. Ltd 2017 (47) STR 267 (T) * M.P. Biscuits Pvt. Ltd 2012 (282) ELT 563 * MB Bakers Pvt. Ltd 2014-TIOL-2666 * S.G. Snacks India Pvt. Ltd vide Final Order No.40920/2019 dated 09.07.2019. * Genau Extrusion Ltd vide Final Order No. 40924/2019 dated 12.07.2019. 3. On the other hand, Sh. T.K. Sikdar Ld. Assistant Commissioner (AR) appearing on behalf of the Revenue reiterates the findings of the impugned order. He placed reliance on the following judgments: * Kohinoor Biscuit Products 2015 (37) STR 567 (Tri.Del.) * Kohinoor Biscuits Products 2015 (38) STR J124 (All.) * Sweetco Food Industries vide Final Order N ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... is that the goods are manufactured on job work basis and the same is cleared to depot of M/s Parle Products Pvt. Ltd and excise duty is paid on MRP based valuation. On the same facts, Division Bench of This Tribunal in case of M.P. Biscuit Pvt. Ltd (Supra) allowed the cenvat credit by giving following findings: "11. Reading of above provision clearly show that outward transportation of the manufactured product up to the place of removal falls within the definition of input service. The appellant has placed on record the authorization letter dated 15-3-2005 addressed by PBPL to Assistant/Deputy Commissioner, Central Excise, Varanasi authorising the appellant to manufacture biscuit on their behalf. Further perusal of the terms and conditio ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t Products (supra) in the identical facts after considering the provision of Section 4A and Section 4(3)(c) of Central Excise Act and Rule 3 of Cenvat Credit Rules, 2004 held that goods cleared from job work to principle manufacturer's depot by determining the value of goods under Section 4A of Central Excise Act, 1944, the factory gate is place of removal hence, the definition of place of removal as given in Section 4(3)(c) cannot be adopted for purpose of Cenvat Credit Rules, 2004 accordingly, cenvat credit was denied. This decision of the Tribunal was upheld by Hon'ble Allahabad High Court in case of Kohinoor Biscuits Products wherein following order was passed: "The appeal by the assessee arises from a decision of the Customs, Excise ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... payment of duty. The goods are cleared at the factory gate. Significantly, both in the order of the Commissioner (Appeals) as well as in the order of the Tribunal, it has been found that as a matter of fact the goods are not cleared "FOR Destination". The place of removal is the factory gate of the appellant. The cost of freight for transportation of the finished goods is admittedly borne by Parle Biscuits. No amount towards freight has been borne by the appellant, in terms of the agreement between the appellant and Parle Biscuits. On this admitted factual position the Commissioner (Appeals) had held that the appellant was not entitled to Cenvat credit in respect of the service tax paid on the GTA Services envisaging the transportation ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nied. The view which has been taken by the Tribunal is in accordance with law. The appeal, therefore, does not give rise to any substantial question of law. It is, accordingly, dismissed. There shall be no order as to costs." 7. In view of above various contrary judgments not only in the Division Bench of this Tribunal but also by Hon'ble High Courts of Rajasthan and Allahabad, there is no consistency on the legal position for availment of cenvat credit on outward GTA in case of goods manufactured and cleared to principles at their depot particularly in the set of facts of present case. Therefore, in my considered view to arrive at consistent view, the matter needs to be considered by Larger Bench of This Tribunal. Accordingly, I pr ..... X X X X Extracts X X X X X X X X Extracts X X X X
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