TMI Blog2020 (10) TMI 1005X X X X Extracts X X X X X X X X Extracts X X X X ..... the sale in the present case gets complete only at the door steps of buyers. It becomes clear that when the goods are cleared on FOR basis the freight paid on outward transportation would definitely qualify as input service, and thus shall be admissible for Cenvat. Thus, the marine insurance services were availed by the appellant-manufacturer when the property in goods was still retained with him, the delivery being on FOR basis. Hence, the opinion formed by the adjudicating authority below for the impugned marine services to not to be included under input services are absolutely wrong - the plea that general insurance services fall under the exclusion clause is also not appropriate to the given facts and circumstances for the reason that the general insurance services only with respect to motor vehicles are covered under the exclusion part of the definition of input services. The impugned goods are not being motor vehicles. Appeal allowed - decided in favor of appellant. - Excise Appeal No. 52175 of 2019, 52176 of 2019, 52177 of 2019 [SM] - Final Order No. 50858-50860/2020 - Dated:- 29-9-2020 - HON BLE MRS. RACHNA GUPTA, MEMBER (JUDICIAL) Mr.Hemant Bajaj Mrs.Sukri ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... thereof, the same has been assailed before this Court. 3. I have heard Mr.Hemant Bajaj and Ms.Sukriti Das, learned Advocates for the appellant and Pradeep Gupta, learned Authorised Representative for the respondent. 4. It is submitted on behalf of the appellants that the appellants took marine insurance to cover the risk of transportation of goods supplied to the buyers at their door steps under FOR delivery terms. It is submitted that issue in dispute is no more res-integra and it has already been settled in favour of the appellant pertaining to the previous period. It is submitted that this Tribunal has been allowing credit on marine insurance services and various other insurance services. Learned Counsel has placed reliance on following decisions:- Hindustan Zinc Ltd. v. CCE, Jaipur, Final Order No. 50332-50336/2017 dated 12.01.2017 Hindustan Zinc Ltd. v. CCE, Jaipur, reported in 2015 (37) STR 608 (Tri.-Del.); Hindustan Zinc Ltd. v. CCE, Jaipur Final Order No. 52904/2017 dated 11.04.2017. 5. Learned Counsel has further submitted that the marine insurance services are duly covered under the definition of input services as given in Rule 2 (l) of Cen ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... (ii) used by a manufacturer, whether directly or indirectly, in or in relation to the manufacture of final products and clearance of final products upto the place of removal,and includes services used in relation to modernisation, renovation or repairs of a factory, premises of provider of output service or an office relating to such factory or premises, advertisement or sales promotion, market research, storage upto the place of removal, procurement of inputs, accounting, auditing, financing, recruitment and quality control, coaching and training, computer networking, credit rating, share registry; security, business exhibition, legal services, inward transportation of inputs or capital goods and outward transportation upto the place of removal; but excludes,- (A) service portion in the execution of a works contract and construction services including service listed under clause (b) of section 66E of the Finance Act (hereinafter referred as specified services), in so far as they are used for- (a) construction or execution of works contract of a building or a civil structure or a part thereof; or (b) laying of foundation or making of structures for support ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e is a contract for the sale of specific or ascertained goods the property in them is transferred to the buyer at such time as the parties to the contract intend it to be transferred. (2) For the purpose of ascertaining the intention of the parties regard shall be had to the terms of the contract, the conduct of the parties and the circumstances of the case. (3) Unless a different intention appears, the rules contained in Sections 20 to 24 are rules for ascertaining the intention of the parties as to the time at which the property in the goods is to pass to the buyer. 13. Hon ble Apex Court even in the case of CCE CU Vs. Rooflt Industries Ltd. 2015 (319) ELT 221 (SC) held as under: 12. The principle of law, thus, is crystal clear. It is to be seen as to whether as to at what point of time sale is effected namely whether it is on factory gate or at a later point of time, i.e. when the delivery f the goods is effected to the buyer at his premises. This aspect is to be seen in the light of provisions of the Sale of Goods Act by applying the same to the facts of each case to determine as to when the ownership in the goods is transferred from the seller to the buyer. The ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the premises of a consignment agent, or any other place or premises from where the excisable goods are to be sold after their clearance from the factory are all places of removal. What is important to note is that each of the premises is referable only the manufacturer and not to the buyer of excisable goods. The depot or the premises of the consignment agent of the manufacturer are obviously places which are referable to the manufacturer. Even the expression any other place of premises refers only to a manufacturers place or premises because such place or premises is to be stated to be where excisable goods are to be sold . These are key words of the subsection. The place or premises from where excisable ˙goods are to be sold can only be manufacturer's premises or premises referable to the manufacturer. If we were to accept contention of the revenue, then these words will have to be substituted by the words have been sold which would then possibly have reference to buyer's premises. 16. In view of entire above discussion, it stands clear that marine insurance services were availed by the appellant-manufacturer when the property in goods was still retained w ..... X X X X Extracts X X X X X X X X Extracts X X X X
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