2017 (9) TMI 766 - AT - Central Excise

CENVAT credit - input services - outdoor caterer service - rent-a-cab service - hospitality service - club service - denial on account of nexus - Held that - the issue of CENVAT credit on the input service in question is no longer res integara as in the various judgements this Tribunal have been extending the benefit of CENVAT credit in respect of all the services in question - credit allowed - appeal allowed - decided in favor of appellant.

Summary

Issues: Admissibility of cenvat credit on input services - outdoor caterer service, rent-a-cab service, hospitality service, club service.

Analysis:
The appellant sought to withdraw one appeal while contesting the admissibility of cenvat credit on various services in another appeal. The appellant argued that all the services were utilized for the overall activity of the company, and the expenses were covered by the company. The appellant relied on several judgments to support their claim, where similar services were deemed admissible for input service credit. The Tribunal noted the consistent allowance of credit on such services in previous judgments and referred to specific cases like C.C.E. Chennai-III Vs. Visteon Powertrain Control Systems, Orient Paper Mills Vs. Commissioner of Central Excise, and others. The Assistant Commissioner for the Revenue reiterated the findings of the impugned order.

Upon evaluating the submissions, the Tribunal found that the issue of cenvat credit on the input services in question was no longer res integara, as previous judgments consistently allowed credit for similar services. Citing the precedents and the arguments presented, the Tribunal set aside the impugned order and allowed the appeal concerning the admissibility of cenvat credit on the services in question. The appeal that the appellant wished to withdraw was dismissed accordingly.