2015 (12) TMI 544 - AT - Service Tax

Denial on Input services credit on car insurance - Held that - cars are owned by the appellant and insurance charges have been paid for the car by themselves only. These cars have been used for company s director as well as for official purpose. In these circumstances, relying on the decision of Hon ble High Court of Bombay in the case of C.C.E., Nagpur v. Ultratech Cement Ltd. - 2010 (10) TMI 13 - BOMBAY HIGH COURT wherein it has been held that any services availed by the manufacturer/producer of the goods in the course of the company business they are entitled to take Cenvat credit. Consequently, I hold that appellant is entitled to take Cenvat credit. - Decided in favour of assessee.

Summary

The Appellate Tribunal CESTAT NEW DELHI allowed the appeal regarding input services credit on car insurance, stating that the appellant is entitled to take Cenvat credit as the cars were used for company purposes. The impugned order was set aside.