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TMI Blog2014 (4) TMI 605X X X X Extracts X X X X X X X X Extracts X X X X ..... ervice. These account for Rs.3.64 crore of the total credit taken - it is for the person availing the credit to establish the nexus between the input services and the manufacture /clearance of excisable goods and in the absence of any nexus between the two, input service credit can be rightly denied. After going through the adjudicating authority's order, we find that the reasons given by him for denying the credit are impeccable and cannot be brushed aside. The appellant has not pleaded any financial hardship. Thus, in the absence of a prima facie case and financial hardship, the balance of convenience lies in favour of Revenue - Conditional stay granted. - Appeal No. E/89909/13 - - - Dated:- 3-2-2014 - P R Chandrasekharan and Anil Cho ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ivity undertaken by the appellant. The department was of the view that the various services on which inputs service tax credit has been taken has no nexus with the manufacturing activity and accordingly issued 37 show-cause notices for the period March 2005 to June 2012 proposing to deny Cenvat credit amounting to Rs.59 crore (approximately). These credits were taken in respect of 24 inputs services and these input services had nexus with the manufacturing activity undertaken by the appellant in their various manufacturing plants. After considering the submissions made by the appellant, the adjudicating authority allowed service tax credit to the extent of Rs.54 crore (approximately). However, in respect of 14 specified services he has deni ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... with the manufacturing operations undertaken by the appellants. Similarly, outdoor catering service has been availed for providing catering to their employees. Real estate service has been availed for securing premises on lease for their various godowns, etc. Thus all these services on which credit has been taken has direct nexus with the manufacturing activities and therefore, the appellants are eligible for the benefit of the credit taken. There are also a large number of decisions allowing input service credit on the various services on which credit has been taken. Reliance is placed on the decision of this Tribunal in the case of CCE ST (LTU) Vs. Lupin Ltd. 2012 (285) ELT 221(T), CCE Vs. Fine Care Biosystems 2009 (244) ELT 372 (T), ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 12 (283) ELT 415 (Tri-Bang) and Parason Machinery (I) Pvt. Ltd. Vs. CCE, Aurangabad 2012 (277) ELT 215 (Tri- Mumbai) wherein this Tribunal has held that unless a nexus is established between the input service and the output manufacturing activity, credit cannot be taken automatically and accordingly, he pleads for putting the appellant to terms. 5. We have carefully considered the submissions made by both the sides. 5.1 The input service and the credit involved in respect of each of them where credit has been denied is given in the table below: S. No. Service Amount (Rs) 1 Air Travel Agent Service 49,30,573 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tainable in law. As regards the balance services, the major amount pertains to 3 or 4 services, namely, air travel agent services, outdoor catering service, rent-a-cab service, tour operator service, and club or association service. These account for Rs.3.64 crore of the total credit taken. As regards, the rent a cab service of Rs.1.81 crore, the adjudicating authority in para 3.7.1.2 of the impugned order has examined at length the various documentary evidences submitted by the appellant and has come to the conclusion that contrary to the submissions made by the appellant that these services pertains to movement of employees to their factories, depots and branches, the invoices revealed a totally different picture and they pertain to trave ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r factory workers stands completely belied. Similarly, in respect of club or association service, the adjudicating authority in para 3.7.5, after going through the various invoices submitted by the appellant, has concluded that these are charges paid to various clubs and association where the appellant's employees are members and no nexus has been established by the appellant between the manufacturing activity and the club membership of individual members. Thus, the adjudicating authority has dealt with the various contentions raised by the appellant in detail after examining the invoices submitted by the appellant for availing the input service credit. As laid down by the Hon'ble Apex Court in the case of Maruti Suzuki Ltd., Vs. CC ..... X X X X Extracts X X X X X X X X Extracts X X X X
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