9911796707
TMI Blog2013 (4) TMI 593X X X X Extracts X X X X X X X X Extracts X X X X ..... kers quarters and the vastuwall made inside the factory have no relationship with the manufacturing activity of the appellants and accordingly credit taken with respect to construction of same will not be covered within the definition of input service as defined under Rule 2(1). Matter remanded to the Original Adjudicating Authority for quantification of the above demand. So far as imposition of penalty is concerned, as issues were under litigation. Therefore, penalty under Rule 15(2) read with Section 11AC cannot be invoked and is accordingly set-aside. - E/748/11 - Final Order No. A/10338/2013-WZB/AHD - Dated:- 1-3-2013 - Mr. M.V. Ravindaran, J. For the Appellant: Shri N. K. Oza (Adv.) For the Respondent: Shri P. N. Sarvaiya ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... industan Ltd. [2011 (24) S.T.R. 497 (Tri.-Del.)] and (ii) judgment of the High Court of Judicature at Bombay (Nagpur Bench) in the case of Commissioner of C.EX., Nagpur vs. Manikgarh Cement [2010 (20) S.T.R. 456 (Bom.)]. It was argued that in the case of Manikgarh Cement (supra) the Hon ble High Court in para 9 of the judgment has held as follows: 9. Applying the ratio laid down by the Hon ble Apex Court in the case of Maruti Susuki Limited vs. Commissioner of Central Excise, Delhi (supra), we hold that unless the nexus is established between the services rendered and the business carried on by the assessee, the benefit of CENVAT Credit is not allowable. In the present case, in our opinion, rendering taxable services at the reside ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e definition of input service as defined under Rule 2(1) of the Cenvat Credit Rule, 2004. So far as admissibility of construction services in relation to making of go-down is concerned, it is held that godowns inside the factory premises are utilized for storing either the inputs or the finished goods which are activities in relation to manufacturing activity and credit for the services so utilized will be admissible. 7. In view of the above, credit with respect to go-down constructed within the factory premises is admissible. With respect to workers quarters and Vastuwall, though it is argued by the appellant that the same is constructed within the factory premises, Cenvat Credit will not be admissible for the same in view of the judgmen ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
