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TMI Blog2013 (4) TMI 493X X X X Extracts X X X X X X X X Extracts X X X X ..... manufacturing activity and cannot be construed as a mere welfare measure nor availment of Cenvat credit denied on that assumption. Car parking facility has been held to constitute input service in relation to the business of mandap keeper service as decided in Desert Inn Limited Vs. CCE, Jaipur 2011 [2011 (3) TMI 640 - CESTAT, NEW DELHI]. Cenvat credit for service tax in respect of services including maintenance and repairs of the fly ash plant situated with the Thermal Power Plant located outside the factory premises decided in favour of assessee as relying on CCE, Nagpur Vs. Ultratech Cement Ltd. {2010 (7) TMI 302 - CESTAT, MUMBAI]rejected Revenue’s appeal and ruled in favour of the assessee with regard to the legitimacy of availment of. In favour of assessee. X X X X Extracts X X X X X X X X Extracts X X X X ..... ed by the owner, to the leased premises. These services include security services in common areas providing electro-mechanical equipments, security cameras, firefighting equipment, landscape of the area/roads, sewerage system/pathways, cost of diesel/lubricants, annual fees paid to various authorities, maintenance and repair of common area etc. According to the appellant, they were paying service tax on such common area maintenance charges under the taxable category of management, maintenance or repair services and these are integrally associated with its business, as management consultancy service provider. The business premises are the physical substrate from which the appellant pursues its business operations. Insofar as employees mediclaim insurance is concerned, it is the case of the appellant that employee insurance coverage for employees was provided as part of its operational policy and this service is also ancillary to the provision of output service of the appellant and directly related to its business. According to the appellant insurance on employees is taken out and the premia there for paid to the insurance company to hedge unforeseen calamities and mitigate productiv ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r as is relevant to the facts on hand, it is clear that any service used by the provider of a taxable service for providing an output service including services used in relation to the setting up, modernisation, renovation or repairs of the premises of the provider of output service or for an office relating to such premises, procurement of inputs, activity relating to business such as inter alia inward transportation of inputs or capital goods and output transportation to the place of removal, would constitute input service. Input service is defined as applicable to either a manufacturer or any other provider of output service. 9. The question whether the categories of input services claimed by the appellant (management, maintenance or repair service, employee mediclaim insurance, cab services and parking services) could legitimately be comprehended as input service for availing Cenvat credit, is the question that falls for our appellate consideration. 10. The adjudicating authority has recorded the following reasons for disallowing Cenvat credit as claimed by the appellant:- (a) that service of cab hire was not used by the appellant for providing output service, since the ser ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... venue's appeal was rejected. 13. Appellant placed reliance on the Circular of the CBEC dated 29.4.2011 wherein it is clarified that Cenvat credit is available on rent-a-cab service received before 1.4.2011 if provision of such service had been completed before the said date. This clarification restricting the eligibility to availment of Cenvat credit for running a cab service up to 1.4.2011 is on account of an amendment introduced into the definition of input service (with effect from 1.4.2011) excluding availment of Cenvat credit in relation to motor vehicle except when used for the provision of taxable services for which credit of motor vehicle is available as capital goods. 14. Appellant also relies on the CBEC Circular dated 19.1.2010 which clarifies different phrases used in the Rules. Para 3.1.2 of this circular seeks to clarify the meaning of the phrase used in relation to by stating that when employed in transactions involving BPOs/call centres, services directly relatable to their export business including renting of premises, services like outdoor catering or rent-a-cab for pick up and dropping of its employees to office would also be eligible for credit, since these of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e Supreme Court in Doypack Systems (Pvt.) Ltd. Vs. Union of India 1988 (36) ELT 201 (SC) after a magisterial analysis of precedential authority reiterated the principle that the expression in relation to signifies a broad expression indicating comprehensiveness which might both have direct as well as an indirect significance, depending on the context. Apart from pointing out that the expression in relation to has been interpreted as signifying the widest amplitude, the Court pointed out that the expression includes signifies an inclusive definition and meaning, is illustrative and not exhaustive. 17. Cenvat credit availed in respect of employees insurance was upheld in other decisions of this Tribunal as well in India Gateway Terminal (P) Ltd. Vs. CCE, Cochin 2010 (20) STR 338 (CESTAT-Bang.), Stanzen Toyotetsu India Pvt. Ltd. Vs. CCE Bangalore 2009 (14) STR 316, CCE Raipur Vs. Raipur Rotocast Ltd. 2010 (18) STGR 466, Flamm Minda Automotive Ltd. Vs. CCE Delhi 2011 (22) STR 210. 18. Issue of Cenvat credit on cab hire services was considered by the Karnataka High Court in CCE, Bangalore-III Vs. Tata Auto Comp. Systems Ltd. 2012 (27) STR 338 (Kar.). Answering the substantial question ..... X X X X Extracts X X X X X X X X Extracts X X X X
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