TMI Blog2022 (1) TMI 357X X X X Extracts X X X X X X X X Extracts X X X X ..... et up which excluded from the definition of input service. Since nature of construction done in the factory is of Renovation and Modernization of the existing factory which is clearly covered under inclusion clause of the definition of input service, therefore, the appellant was entitled for the Cenvat Credit of such input service. Since the Cenvat credit itself is admissible the same is not recoverable, consequently, neither any interest can be demanded nor any penalty can be imposed, therefore, the demand of interest and penalties clearly illegal and incorrect. Appeal allowed - decided in favor of appellant. - Excise Appeal No.11892 of 2018 - A/12613/2021 - Dated:- 9-12-2021 - HON'BLE MEMBER (JUDICIAL), MR. RAMESH NAIR ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... hough considered the appellant s plea on the merit of admissibility of Cenvat Credit, however, it was held that the activity of the construction falls under the exclusion category therefore, the appellant is not entitled for the Cenvat Credit, consequently, the demand of interest and penalty has been confirmed. Being aggrieved by the Order-In-Original the appellant filed the appeal before the Commissioner (Appeals) who upheld the Order-In-original and rejected the appeal of the appellant, therefore the present appeal. 2. Sh. S J Vyas, Learned Counsel appearing on behalf of the appellant submits that even though the Cenvat Credit was reversed by the appellant but no show cause notice issued for denial of the Cenvat Credit and consequentia ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... mp room. Since this construction was done in the existing factory to expand the facility of the existing factory therefore, it will clearly fall under the Modernization and Renovation of the factory. This is not a case where a new factory was set up which excluded from the definition of input service. Since nature of construction done in the factory is of Renovation and Modernization of the existing factory which is clearly covered under inclusion clause of the definition of input service, therefore, the appellant was entitled for the Cenvat Credit of such input service. Since the Cenvat credit itself is admissible the same is not recoverable, consequently, neither any interest can be demanded nor any penalty can be imposed, therefore, the ..... X X X X Extracts X X X X X X X X Extracts X X X X
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