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TMI Blog2016 (7) TMI 1198X X X X Extracts X X X X X X X X Extracts X X X X ..... yroll processing and C Form collection service is connected to the activity of accounting is not without substance. The definition of input service, as contained in Rule 2(l) of CENVAT Credit Rules, 2004 speaks about services used in relation to activities relating to business such as accounting, auditing, financing etc. Payroll processing of employees is part of maintaining proper accounts. So also C Form has to be collected and submitted which is necessary for upkeep of tax accounting. As such, I hold that the credit on these input services is admissible. - Appeal No. E/25190/2013 - Final Order No. A/30189/2016 - Dated:- 11-3-2016 - Ms. Sulekha Beevi, C.S., Member (Judicial) For the Appellant : Shri Cherian Punnoose, Advocate ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the original authority held that credit cannot be allowed as air receiver and corrugated hoses are not capital goods. Therefore the observation in in the impugned order that the invoices were not produced is factually incorrect. The learned counsel drew attention to the invoices produced along with appeal and contended that the documents are in order and that there was no discrepancy noted by original authority with regard to the documents. He explained that the corrugated hoses are rubber hoses and highly abrasion resistant hoses used for transporting Silicon Carbide grits from silo to the crushing and receiving machines. These are capital goods which are essential to the manufacturing process and fall under the category of pipes and tubes ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... eceiver do not fall in the category of capital goods. That the services of payroll processing and C Form collection are not connected with accounting and therefore cannot be allowed. 6. I have heard both sides. The learned counsel for appellant is correct in submitting that the original authority has not noted any discrepancy with regard to the invoices of the subject capital goods. The original authority after verification of invoices disallowed the credit on the ground that these goods do not qualify as capital goods. In such circumstances, it was not legal or proper for the Commissioner(Appeals) to deny credit saying that the invoices are not produced. In the judgments relied by the appellant, the credit on rubber hoses and air receiv ..... X X X X Extracts X X X X X X X X Extracts X X X X
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