2009 (7) TMI 568

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..... ed by the definition of ‘Input Service’ and hence Cenvat Credit had been taken correctly in respect of the same. In the light of the decision of Millipore India Ltd. v. CCE 2009 -TMI - 32592 - CESTAT, BANGALORE, Held that the definition of input has two limbs and second limb of the definition covers the activities relating to business and the list of the activities is not exhaustive. The insurance of the capital goods whether in the factory or in transit and similarly the group insurance of the workers and the staff is very much part of the business activity and every manufacturer or service provider has to use these services for his business. Therefore, the order of commissioner (Appeals) is upheld. - ST/96/2008-SM AND ST/CO/158/2008-SM .....

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..... espect of the same. It is against this order that the Revenue has come in appeal before this Tribunal. 2. In respect of this appeal filed by the Revenue, the respondent have also filed the Cross Objection registered as ST/CO/158/08-SM. The respondent vide letter dated 26-5-2009 informed that the appeal may be decided on merits taking into account the submissions made by them in the Cross Objection, 3. Heard Shri S.N. Srivastava, the Ld. DR who assailed the impugned order reiterating the grounds of appeal in the Revenue's appeal emphasised that - (a) the Insurance services are nowhere mentioned in the definition of input services and (b) the Group Health Guard Policy is meant for the staff not for the workers engaged directly in the manu .....

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..... y manufacturer or service provider has to use these services for his business. Therefore, I agree with the Commissioner (Appeals)'s findings that these services are covered by the expression - "activities relating to business" and hence the same are covered by the definition of "input service". I find that same view has been taken by the Tribunal in the case of Millipore India Ltd. v. CCE [2009] 22 STT 536 (Bang. - CESTAT) wherein it was held that since the services of medical and personal accident policy, group personal accident policy and insurance are taken into account while determining the cost of the goods under CAS-4 the same have to be treated as "input services". In view of the above discussion, I do not find any infirmity in the i .....

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