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TMI Blog2024 (12) TMI 882X X X X Extracts X X X X X X X X Extracts X X X X ..... 'the impugned order') passed by the Commissioner (Appeals)-III, GST & Central Excise, Mumbai. 2.1 The facts of the case, leading to this appeal, are summarised herein below: 2.2 The appellants herein, inter alia, are engaged in the manufacture of excisable goods viz. Miscellaneous Chemicals falling under Chapter 38 of the First Schedule to the Central Excise Tariff Act, 1985. The appellants are availing CENVAT credit of service tax paid on input services for use in or in relation to the manufacture of final products. During the disputed period i.e., January 2010 to March 2012, the appellants have availed CENVAT Credit amounting to Rs. 24,93,853/- being service tax paid on input services such as business auxiliary service, C&F agent servic ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... /- by dropping the demands to that extent and disallowed the CENVAT credit for an amount of Rs.17,75,632/-and ordered for its recovery under Rule 14 of Rules of 2004 read with Section 11A of the Central Excise Act, 1944, besides imposition of equal amount of penalty on the appellants under Rule 15(1) of the Rules of 2004. Aggrieved by above order, the appellants had filed appeals with the Commissioner (Appeals), who vide Orders in Appeal No.207 to 212 dated 31.05.2013 had set aside the orders of the original authority by allowing the appeal of the appellants with consequential relief. Feeling aggrieved with the above order of the first appellate authority, department had inter alia filed appeal before the Tribunal, which was decided along w ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... this appeal before the Tribunal. Learned Commissioner (Appeals) in the impugned order had recorded his findings and conclusions in disallowing part of the CENVAT Credit in respect of certain input services availed by the appellants on the ground that no supporting documents were submitted, and in respect of 'transportation by road service' and 'technical testing and analysis service' on the basis of definition of 'input service' as in force w.e.f. 01.04.2011, as follows: "8.In view of above legal provisions and clarification, I would now discuss the nature of input services used for providing output services by the appellants and record my findings on the eligibility to credit of the disputed input services involved in each appeal as unde ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 01.2013as under: (i) Out of Cenvat credit disallowed and confirmed amounting toRs.17,75,631/-in the impugned Order-in-Original, I allowCenvat credit of Rs.11,40,644/- in terms of my findings at Para 8 above. Accordingly, Cenvat credit disallowed and confirmed in terms of Rule 14 of the Cenvat Credit Rules, 2004 read with Section 11A(10) of the Central Excise Act, 1944is reduced to Rs.6,34,987/-. (ii) I order recovery of interest at applicable rates on the amount confirmed at Sr. No. (i) above, under provisions of Rule 14 of Cenvat Credit Rules, 2004 read with Section 11AB (11AA) of the Central Excise Act, 1944. (iii) I set aside penalty of Rs.17,75,631/- imposed under the provisions of Rule 15(1) of the Cenvat Credit Rules, 2004 an ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sample invoices produced as evidential documents for claiming that they are eligible for such input service. I have perused these documents filed by the appellants as part of the appeal papers in respect of business auxiliary service, C&F agent service, management consultancy service, consultancy/professional charges, storage/warehousing charges. I find that the aforesaid services have been used in or in relation to the manufacture of final products inasmuch as these services are in the nature of bank guarantee commission paid to the bank for raising funds for working capital, services used for obtaining advance licenses for the final product, surveillance audit service, C&F agents service upto the place of removal i.e., Zirakpur and Guwaha ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... utward transportation upto the place of removal". In respect of 'technical testing and analysis service', the appellants have produced three invoices issued by the Mumbai Waste Management Ltd., for comprehensive analysis and technical testing of waste sample. As testing of waste arising in the course of manufacture is a legal requirement for any manufacturer for compliance with environmental laws and regulations of the State, I find that such credit of service tax in respect of testing and analysis service is eligible as input service. Further, the certificate issued by the Mumbai Waste Management Ltd., for the appellants-manufacturer factory at Tarapur, being a registered member for safe and secure disposal of hazardous waste in terms of h ..... X X X X Extracts X X X X X X X X Extracts X X X X
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