2007 (5) TMI 26

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..... respect of inputs service i.e. service tax paid on Mobile Phone Bills was denied. The Revenue denied the credit in view of the Board Circular No. 59/8/2003-S.T., dated 20-6-2003. The Circular provides that credit in respect of the input service is available in respect of phones in stalled in the factory. 2. The contention of the appellant is that as credit was availed during 1st December, 2004 to .....

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..... rvice tax paid on mobile phone bills as there is no prohibition under the rules for taking such credit. 3. The contention of revenue is that the rule specifically provides that if input service is used by the manufacturer in or in relation to the manufacture of final product and clearance of final product from the place of removal, then the credit in respect of the input service can be availed an .....

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..... redit is being availed in respect of the input service which is used directly or indirectly in or in relation the manufacture of final product and clearance of final product from the place of removal. I find that the lower authorities have not gone into this fact. Therefore, the matter requires reconsideration. The impugned order is set aside. The matter is remanded to the adjudicating authority t .....

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