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TMI Blog2015 (10) TMI 2409X X X X Extracts X X X X X X X X Extracts X X X X ..... petitions against the impugned order which has allowed the appeals filed by the respondent-assessees and sanctioned them the refund of the amounts. The stay petitions are disposed of as we are disposing of the appeals on merits. 3. Heard both the sides and perused the records. 4. The issue involved in this case is regarding refund of the amount of service tax paid on input service i.e. 'banking and financial services' and 'technical inspection and certification services'. The respondent's are engaged in the business of import of rough diamonds and manufacture and export of cut and polished diamonds and is a star trading house. The respondent submitted from time-to-time various applications for refund of CENVAT credit ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t that the said Notification talks about the services received and used for export of goods while the CENVAT credit availed is in respect of the services which were rendered for import of goods also. It is his submission that the Notification 17/2009-ST is an exemption Notification and needs to be strictly followed. It is his submission that in certain cases input invoices could not be correlated with the export documents. He would also draw our attention to the fact that details of the service tax paid on these two services is also in respect of the items which were not in relation to the export like insurance was in respect of furniture and fixtures, local sales, etc. 6. Learned counsel appearing on behalf of the respondent would submit ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... and purpose of the exemption Notification. It is his submission that this Tribunal in the case of Meghmani Dyes & Internationals Ltd. v. CCE [Final Order No. A/2078/2011-WZB/Ahd, dated 22-11-2011] has held banks charges paid in relation to the purchase of raw materials and sale of finished goods relatable to manufacture and hence CENVAT credit can be availed of the service tax paid on such 7. We have considered the submissions made at length by both the sides. On a perusal of the records we do find that the issue is very narrow in compass and the facts are not in much dispute inasmuch as the respondent is an importer of rough diamonds, exports the same after cutting and polishing and also manufactured jewellery. For the purpose of exporti ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... se of Convergys India Services (P.) Ltd. (supra) wherein this bench at paragraph Nos. 6 and 7: "6. From the above, it is clear that there can not be two different yardsticks, one for permitting credit and the other for eligibility for granting rebate. Whatever credit has been permitted to be taken, the same are permitted to be utilised and when the same is not possible there is provision for of refund or as rebate. Without questioning the credit taken, the eligibility to rebate can not be questioned. 7.1 In common parlance, if the cost of such and services becomes part of the cost of the final product or the cost of the output services, as the case may be, then they are understood as input and input services in relation to said final prod ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ectly or indirectly, in or in relation to the manufacture of final products and clearance of final products upto the place of removal, and includes services used in relation lo setting up, modernization, renovation or repairs of a factory, premises of provider of output service or an office relating to such factory or premises, advertisement or sales promotion, market research, storage upto the place of removal, procurement of inputs, activities relating to business, such as accounting, auditing, financing, recruitment and quality control, coaching and training, computer networking, credit rating, share registry, and security, inward transportation of inputs or capital goods and outward transportation upto the place or removal." (Emphasis ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... circumstances which are mentioned in Rule 6(2). Rule 6(2) deals with a situation where inter alia a manufacturer manufactures both dutiable final products as well as exempted goods. In such a situation, in order to avail of Cenvat credit, the manufacturer is required to maintain separate accounts for the receipt, consumption and inventory of inputs and input services meant for use in the manufacture of dutiable final products and the quantity of inputs meant for use in the manufacture of exempted goods. Rule 6(2) stipulates that a manufacturer can take Cenvat credit only on that quantity of input service which is intended for use in the manufacture of dutiable goods. In other words, Cenvat credit is not admissible on that quantity of input ..... X X X X Extracts X X X X X X X X Extracts X X X X
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