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TMI Blog2013 (9) TMI 356X X X X Extracts X X X X X X X X Extracts X X X X ..... the payment of service tax on such insurance is clearly eligible for cenvat credit as "Input Service'' - The service tax paid on such "input service" is eligible for taking cenvat credit. Decided in favor of Assessee. - E/1401 & 1402/2011 - A/10317-10318/WZB/AHD/2013 - Dated:- 15-2-2013 - M V Ravindran, J. For the Appellant : Shri P P Jadeja, Cons. For the Respondent : Shri K N Joshi, AR PER : M V Ravindran This appeal is directed against order in appeal No.317 to 318/2011 (Ahd-II)CE/PKJ/Commr(A)Ahd, dt.05.07.11. 2. The relevant facts that arise for consideration here are the main appellant company had availed cenvat credit of the service tax paid on an insurance policy raised by M/s. Tata AIG General Insurance Co. Ltd ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ctions in M/s. Tata AIG General Insurance Co. Ltd. and submit that the insurance policy is for the insurance cover give to the products of the appellant all over the world except India. It is his submission that this item is not in or in relation to the manufacture of the final products and is post manufacturing activity. 5. I have considered the submissions made by both sides and perused the records. 6. The issue involved in this case is whether the appellant is eligible to avail cenvat credit of the service tax paid on the insurance policy which covers the movement of the goods all over the world except India. It is undisputed that service tax liability has been discharged by the service provider/insurer M/s. Tata AIG General Insuranc ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... roducts from the place of removal. (c) Services used in relation to setting up, modernization, renovation or repairs of a factory, or an office relating to such factory. (d) Services used in relation to advertisement or sales promotion, market research storage upto the place of removal, procurement of inputs. (e) Service used in relation to activities relating to business and outward transportation upto the place of removal. 2. In Para 9.3 it has been held that if the appellant can satisfy anyone of the above, then credit on input service would be admissible even if the appellant does not satisfy the other limbs. In para 9.2(e) "Services used in relation to activities relating to business" are also shown as o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... correctly appreciated that these expenses are necessary for business requirement of the appellant and also they are clearly relatable to the goods manufactured by the appellant. There is a clear nexus between these expenses with the goods manufactured by the appellant. Therefore, the said Insurance Services are used by the appellant only in relation to activities relating to their business of manufacture of final products. The service tax paid on such "input service" is eligible for taking cenvat credit. 2. It is found that the present case is covered under the Tribunal's decision in the case of M/s. Reliance Industries Ltd. v. C.C.E., Rajkot reported in 2009 (14) S.T.R. 287 (Tri. - Ahmd.) which reads as follows : "Apart from ..... X X X X Extracts X X X X X X X X Extracts X X X X
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