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TMI Blog2015 (9) TMI 1214X X X X Extracts X X X X X X X X Extracts X X X X ..... d part of the advertisement expenses from their parent company, does not mean that appellant would become disentitled for the service tax actually paid by them and this Tribunal allowed the cenvat credit on advertisement expenses which has been reimbursed by the parent company. In this case, insurance expenses have been paid by the appellant for transportation of the goods upto the place of buyer and same has been reimbursed by the buyer of the goods. Therefore, the facts of the case in hand are similar to the facts of Suzuki Motorcycle (PI) Pvt. Ltd. (supra). In these circumstances, I hold that appellant is entitled to take cenvat credit of insurance premium charges paid by them when there is no dispute that the goods were delivered at the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of the appellant submits that the sale of sugar by the appellant was on FOR destination basis. Therefore, the ownership of the goods remained with the appellant and they have complied with the condition of CBEC Circular No. 97/09/07 dated 23.8.07. As during transit of goods from the factory to the customers premises, the risk of loss of goods or damage to the goods was of the appellant and for the freight up to the customers premises was integral part of the price of goods as the sales were FOR destination basis. He further submits that in case of sales on FOR destination basis, the places of removal is customers' premises. Therefore, he is entitled to take Cenvat Credit on insurance premium during transit. To support this contention, h ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... eimbursed to the appellant, they are not entitled to take cenvat credit thereon and to support this contention, shelter of decision of Lafarge India Ltd. (supra) and Kohinoor Biscuit Products (supra) was taken. In fact in the case of M/s. Roofit Industries Ltd. (supra), the issue of valuation was there wherein the Hon'ble Apex Court held that in case of goods delivered at the customers place, the cost of transportation should be added in the assessable value, then it is entitled to take cenvat credit. Those goods are delivered to the customers place, in that case, transportation cost is to be added in the assessable value. But the Hon'ble Apex Court has not decided the issue whether the assessee is entitled to take cenvat credit or ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d for the service tax actually paid by them and this Tribunal allowed the cenvat credit on advertisement expenses which has been reimbursed by the parent company. In this case, insurance expenses have been paid by the appellant for transportation of the goods upto the place of buyer and same has been reimbursed by the buyer of the goods. Therefore, the facts of the case in hand are similar to the facts of Suzuki Motorcycle (PI) Pvt. Ltd. (supra). In these circumstances, I hold that appellant is entitled to take cenvat credit of insurance premium charges paid by them when there is no dispute that the goods were delivered at the customers place. In these terms, I do not find any merit in the impugned order. Same is set aside. Appeal is allowe ..... X X X X Extracts X X X X X X X X Extracts X X X X
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