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TMI Blog2016 (10) TMI 756X X X X Extracts X X X X X X X X Extracts X X X X ..... ctory for home consumption on payment of duty. On transportation of the said goods from their factory to various places the transport charges are paid by the appellant and service tax on such transport charge is discharged by them under head Goods Transport Agency services as prescribed under the Finance Act, 1994 and rules framed thereunder being receivers of such services. The appellant availed Cenvat Credit of service tax paid on transport services treating the same as input service as defined under Rule 2(l) of the CENVAT Credit Rules, 2004. The appellants were issued show-cause notice for the period 2006-07 and 2007-08 alleging that Cenvat Credit availed on alt Goods Transport Agency service on outward transportation are not admissible ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ubmitted that the definition of input service prescribed under Rule 2(l) of CENVAT Credit Rules, 2004 is an inclusive definition. It enlists the services which are included and these are used in or relation to setting up modernisation, renovation or repairs of a factory or premises of provider of output service or an office relating to such factory or premises, advertisement or sales promotion, market research, storage up to 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 t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nd in the present appeal also the period involved is prior to 01.04.2008. 4. On the other hand, Id. AR reiterates the findings of the lower authorities. 5. I have heard the Id. counsel for the parties and perused the records. The only issue to be decided in this appeal is whether the Goods Transport Agency service fall within the definition of input service as contained in Rule 2(l) of the CENVAT Credit Rules, 2004. The Larger bench of the Tribunal in the case of ABB Ltd has held that the expression" activities relating to business" takes in its ambit the outward transportation of goods. The observation of the Tribunal recorded at para 15 of the judgment is as under:- "15. We also note ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... in the inclusive clause. However, the interpretation placed on the words 'clearance of final products from the place of removal' and the subsequent amendment by notification no. 10/2008-CE (NT) dated 01.03.2008 substituting the word 'from' in the said phrase in place of 'upto makes it clear that transportation charges were included in the phrase 'clearance from the place of removal' upto the date of the said substitution and it cannot be included within the phrase 'activities relating to business', it is not necessary to expand the meaning of the word activities relating to business' so as to include the transportation of the final product from the place of removal to its destination. Interpretation ..... X X X X Extracts X X X X X X X X Extracts X X X X
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