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TMI Blog2016 (2) TMI 979X X X X Extracts X X X X X X X X Extracts X X X X ..... enses are allowable if the same are provided to employees in general as expenditure in relation to the business of an assessee - appeal allowed - decided in favor of appellant. - E/58172/2013 - Final Order No. A/70063/2016 - Dated:- 9-2-2016 - Shri Anil Choudhary, Member (J) Shri Bimal Jain, CA, for the Appellant. Shri D.K. Deb, AR, for the Respondent. ORDER The appellant is in appeal against order-in-appeal dated 22-3-2013 passed by Commissioner (Appeals), Customs, Central Excise and Service Tax, Noida by which the disallowance of Cenvat credit availed on input services being shifting and relocation expenses of the employees incurred by the assessee under the their transfer policy was upheld as not an eligible input s ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nses of employees upon transfer. The appellant appeared and contested the show cause notice stating that there is no suppression, etc. On their part and further contended, that the transfer of the employees is made in furtherance of their business prospects and profitability of the company. The SCN was adjudicated and vide OIO dated 30-11-2012 the proposed Cenvat was disallowed ₹ 1,13,363/- along with interest and equal amount of penalty was imposed under Rule 15 read with Section 11AC of the Act. Being aggrieved the assessee preferred appeal before learned Commissioner (Appeals) who vide the impugned order was pleased to dismiss the appeal holding that in the instant case, the said service has no nexus with the business of the appell ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 1-4-2011 . The learned counsel relied on the ruling in the case of CIT v. Bimetal Bearings - 1994 (210) ITR 945 (Mad), held that the amount paid by a company to its employees by way of settling allowance in connection with shifting of its factory to a new place is allowable expenditure. The learned counsel also relies on the ruling of the Bombay High Court in the case of CCE v. Ultratech Cement Ltd. - 2010 (260) E.L.T. 369 = 2010 (20) S.T.R. 577 (Bom.), wherein the Hon ble High Court have held that the definition of input service is not restricted to services used in or in relation to manufacture of final product, but extends to all services used in relation to the business of manufacturing the final product. He further states that the d ..... X X X X Extracts X X X X X X X X Extracts X X X X
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