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TMI Blog2020 (9) TMI 937X X X X Extracts X X X X X X X X Extracts X X X X ..... ow cause notices were issued to the Appellant alleging that the Appellant had availed CENVAT Credit on illegible input services. Accordingly, the Show Cause Notices proposed recovery of inadmissible CENVAT Credit of Rs. 3,68,404/- on Short term accommodation in hotels, Rs. 3,698/- on Rent-acab, Rs. 11,94,790/- on Outdoor catering/Cleaning service and Rs. 12,34,451/- on Housekeeping service, totalling to Rs. 28,01,343/- along with interest. Penalties under Sections 77 and 78 of the Finance Act, 1994 were also sought to be imposed. 2. The Adjudicating Authority confirmed the demands proposed in the Notices along with interest and penalties. On appeal, the Commissioner (Appeals) allowed the availment of Cenvat credit on Housekeeping service a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 'activities relating to business' was omitted in the amended definition of input service (w.e.f. 01.04.2011), the said service would not qualify as input service. 7. On perusal of the records, I find that the Appellant's personnel necessarily had to undergo the required training to obtain the necessary permissions and approvals for the service recipient to avail the services of the Appellant. Had such training not been completed before such personnel were deployed at the rig, the service recipient would have deducted a certain amount at the time of payment to the Appellant. In any case, the Appellant could not afford to deploy people without the required police clearance certificate and Safety training. Therefore, the Appellant had no cho ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ld never be eligible for credit if a narrow interpretation is given. I do not find any reason to take a contrary view and hence, applying the ratio of said decision, CENVAT Credit on rent a cab is allowed. Outdoor catering service: 9. The Appellant submitted that they had hired reefer/chiller containers and dry containers to store edible items to prevent them from getting spoilt. I find that the Commissioner (Appeals) held that food is for personal use and consumption of the employees and therefore, has no nexus to the output service of the Appellant. 10. I find that as the personnel working at the rig have been deployed by the Appellant, it is the Appellant's responsibility to ensure healthy working conditions for such personnel. Theref ..... X X X X Extracts X X X X X X X X Extracts X X X X
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