2015 (11) TMI 1103 - AT - Central Excise

Benefit of Cenvat credit - man-power supply service - Pest Control Service - Held that - Canteen being an integral part of the factory and maintenance of such canteen being an obligation under the Factories Act, man-power supply to the canteen is not out of the scope of utlisation of the man-power in the integrated activity of the factory. Pest control being an essentiality to preserve the record for carrying on the business disallowance of credit in respect of such service does not appear to be proper. Therefore, learned Commissioner (Appeals) has rightly allowed appeal of respondent.

Summary

The Appellate Tribunal CESTAT CHENNAI allowed Cenvat credit on man-power supply to a canteen as it is integral to the factory under the Factories Act. The Tribunal also upheld the appeal regarding disallowance of credit for pest control services. The Revenue appeal was dismissed, and cross objection was disposed of accordingly.