2020 (4) TMI 674 - AT - Central Excise

CENVAT Credit - input services - Clearing Service - Life Insurance Services (For Employee) - and Mandap Keeper Service etc. - HELD THAT - The issue decided in case of PANASONIC ENERGY INDIA CO. LTD. VERSUS C.C.E. S.T. -VADODARA-II 2017 (9) TMI 1876 - CESTAT AHMEDABAD where on identical services it was held that respective services have been held to be Input service as defined under Rule 2(l) of CCR 2004 in various services and accordingly the service tax paid on these services is admissible to credit. Credit allowed - appeal allowed - decided in favor of appellant.

Summary

Issues:
1. Entitlement to Cenvat Credit for Input Services.

Analysis:
The judgment by the Appellate Tribunal CESTAT Ahmedabad involved the issue of whether the appellant was entitled to Cenvat Credit for Input Services such as Clearing Service, Life Insurance Services (For Employee), and Mandap Keeper Service. The appellant argued that similar credits had been allowed in their own case previously. The tribunal admitted the appeal for consideration based on this submission.

The appellant's counsel highlighted that Cenvat Credit had been allowed for the same services in a previous tribunal order dated 01.09.2017. On the other hand, the revenue representative reiterated the findings of the impugned order. The tribunal examined the records and noted that in the appellant's own case, a similar issue had been decided in their favor in a previous order dated 01.09.2017.

In the detailed analysis, the tribunal referred to various judgments related to services like Air Travel Agent Service, Tour Operator's Service, Courier Service, Cleaning Service, Life Insurance of employees, Mandap Keeper Service, Business Auxiliary Service (Commission Agent), and GTA Service. The appellant had not contested the recovery of credit on sales commission but disputed the denial of credit on other services. The tribunal found that the services in question fell under the definition of 'Input service' as per Rule 2(l) of CCR, 2004, based on the cited judgments. However, regarding the credit for GTA Service, further verification was deemed necessary to determine the place of removal, leading to a remand to the adjudicating authority for clarification.

Given that the issue had been previously addressed in a tribunal order from 01.09.2017, the tribunal concluded that the matter was no longer res-integra. Consequently, the impugned order was set aside, and the appeal was allowed, modifying the order to address the specific issue related to GTA Service credit.