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TMI Blog2015 (5) TMI 1122X X X X Extracts X X X X X X X X Extracts X X X X ..... n absence of notice under Rule 14 of CCR, 2004 - credit allowed. Management consultant service - import of services - reverse charge mechanism - the remuneration paid to Mr. Pooran Tripathi (the employee and director of Stone And Webster's Inc. deputed In USA) for providing services to the respondent company - Held that: - the very essential fact is absent in the findings of the Adjudicating Authority, wherein the facts stated by the assessee that the said person is not its employee, have not been found to be untrue - the learned Commissioner (Appeals) rightly allowed the Cenvat credit in respect of the remuneration paid to Mr. Tripathi - credit allowed. Appeal dismissed - decided against Revenue. - ST/85872 & 85873/2014-MUM - A/8897 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... o allow the appeals, allowing the Cenvat credit in full and holding the same as refundable. 3. The issue in this appeal is twofold. The first issue is whether the input services availed by the respondent assessee like air-travel service, man power recruitment service, courier service, and chartered accountant and Rent a Car service, etc. have not been received in or in relation to the provision of the output services. The 2 nd issue is the remuneration paid to Mr. Pooran Tripathi (the employee and director of Stone And Webster's Inc. deputed In USA) for providing services to the respondent company, and it have paid service tax on the same, have been claimed by the respondent assessee as a receipt of Management consultant service (Im ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... equipment, considered, the question, whether these; were input services. The matter was remanded for de novo adjudication by the majority order to decide whether the services involved activities integrally connected with business of assessee with reference to Rule 2 (l) of CCR rules 2004. 5. In reply the learned Counsel for the respondent assessee urges that the adjudicating authority have rejected the Cenvat credit on the input services summarily without any discussion and/or categorical finding as regards the admissibility. As regards Man Power Recruitment Agency Service, the respondent alleges that it requires qualified manpower for providing the output service of consulting engineer s. The respondent availed the Services of Manpowe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ceived to ensure the availability of personnel for the business of the respondent company and as such the same have been incurred in relation to the output service randered. The respondent Counsel further relies on the ruling of the Honourable Bombay High Court in the case of CCE Versus Ultratech Cement Ltd - 2010 (260) E.L.T. 369 (Bom.) wherein it is held that Outdoor Catering Services availed by the manufacturing company is essential, as the same forms part of its cost for the manufacture of product as well as to ensure the facility to workmen, and the same is further required in compliance with the provisions of the Factories Act, 1948. Further the Honourable High Court have laid down the principles, providing that what is essential ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e a joint venture company with Stone and Webster Inc (USA) who have deputed Mr. Pooran Tripathi as the President of the company and is its nominee. That the remuneration paid to the said person is borne by the Stone and Webster in USA and part of that remuneration is charged to the respondent company in accordance with the mutual agreement between the joint-venture partners. The respondent company is paying service tax against the invoice raised by Stone and Webster for providing services under the category of Management Consulting Service. The same amounts to import of service by the respondent company and service tax already has been paid. Further it is an admitted fact that input consultancy charges is considered as input service and h ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n terms of rule 2 (l) of the CCR 2004, I have already observed that some of the services in question are already specified in rule 2 (l), and I find that each of the service is required by the respondent assessee in providing its output services The disallowance of input credit in part is also bad and without jurisdiction in absence of notice under Rule 14 of CCR, 20040 As regards the next issue with respect to remuneration paid to Mr. Pooran Tripathi, I find that the very essential fact is absent in the findings of the Adjudicating Authority, wherein the facts stated by the assessee that the said person is not its employee, have not been found to be untrue. As such I hold that the learned Commissioner (Appeals) rightly allowed the Cenvat c ..... X X X X Extracts X X X X X X X X Extracts X X X X
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