9911796707
TMI Blog2010 (9) TMI 507X X X X Extracts X X X X X X X X Extracts X X X X ..... nt. [Order]. - The appellant had filed this appeal against the impugned order wherein the input service credit on Mobile Phone Service was denied holding that the mobile phones given to the employees as a perquisite as part of the remuneration package is a fringe benefit and cannot be treated as an input service. 2. The facts of the case are that the appellants are engaged in the manufacture of excisable goods and availing input service credit on mobile phones issued to the executives of the Company. A show-cause notice was issued to the appellant on the ground that the input Service credit on mobile phones is not admissible to them as they were not used in or in relation to the manufacture of the excisable goods. The adjudicati ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ied. Aggrieved from the Commissioner (Appeals) order, the appellant is before me. 4. The learned Advocate for the appellant submitted that the service is required at each stage of business activity right from the stage of procurement of inputs till receipt of the payment for sale of final product is acceptable subject to confirmation of ownership of mobile phones and who has paid the bills. The adjudicating authority had accepted their contention that they are entitled to avail input service credit on these mobile phones but denied the same on the ground that mobile phones are not registered at the factory premises. On appeal, the Commissioner (Appeals) denied the input service credit on some other premise. He further submitted that the c ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ees as perquisite and is treated as a fringe benefit just like a staff car or a laptop or a housing facility. Therefore, the items given to the employees as part of the remuneration package is a fringe benefit cannot be treated as an input service. These facilities can be used either for official or for personal purpose and there is no direction in terms of the desired usage and input credit service was denied. On the similar findings, this Tribunal in the case of ITC Ltd. (supra) has held that the assessee is entitled for input service credit on the mobile phone services. I have also gone through the adjudication order wherein the adjudicating authority has also found that considering the provision of CENVAT Credit Rules, 2004 and the Mas ..... X X X X Extracts X X X X X X X X Extracts X X X X
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