2015 (3) TMI 1268 - AT - Central Excise

CENVAT credit - Courier Service - Housekeeping service - maintenance of garden - denial on account of nexus - Held that - the learned Commissioner (Appeals) committed an error without any cogent reason stated justifying the reason how housekeeping and maintenance of garden has relevance to manufacturing - credit denied. Courier Service - Held that - the Courier Services has a direct nexus to business since communications is indispensable necessity in business world - credit allowed. Appeal allowed - decided partly in favor of Revenue.

Summary

The Appellate Tribunal CESTAT CHENNAI allowed the Revenue's appeal partially. Cenvat credit on Housekeeping Services and garden maintenance is not admissible, but Cenvat credit on Courier Services is permissible due to its direct nexus to business.