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TMI Blog2018 (5) TMI 202X X X X Extracts X X X X X X X X Extracts X X X X ..... 4. In his order, Ld. Commissioner (Appeals) allowed the benefit on the basis of the judgment of Hon'ble Bombay High Court in the case of Coca Cola India vs. CCE - 2009 (242) ELT 168 (Bom.). The main ground of Revenue in the appeal is that the commercial or industrial construction service or works contract service is an input service for output service namely renting of immovable property service. It is also argued by the Revenue that the service in question has been used for construction of the immovable property and not in used for providing taxable services. Ld. A.R. also relied on the Board's Circular No. 98/01/2008-ST dt. 04.01.2008. 3. Ld. Advocate for the respondent submits that the issue is no longer res integra and has been settled ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... The land and the factory are used by the manufacturer in any event indirectly in or in relation to the manufacture of the final product, namely, metal-sheets. The respondents‟ case, therefore, falls within the first part of Rule 2(l) aptly referred to by Mr. Amrinder Singh as the "means part." 9. The respondents‟ case also falls within the second part of Rule 2(l) i.e. the "inclusive" part. The definition of the words "input service" also specifically includes the services used in relation to setting up of a factory. Mr. Amrinder Singh rightly contended that it was not the appellant‟s case that the services were not used for the setting up of the factory. The doubt in this regard is set at rest by the second part of Secti ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e purposes of this sub-clause, the construction of a new building which is intended for sale, wholly or partly, by a builder or any person authorised by the builder before, during or after construction (except in cases for which no sum is received from or on behalf of the prospective buyer by the builder or the person authorised by the builder before grant of completion certificate by the authority competent to issue such certificate under any law for the time being in force shall be deemed to be service provided by the builder to the buyer." 11. If in fact the said services were not covered by Rule 2(l), it would not have been necessary to introduce the amendment. It is clear, therefore, that prior to the amendment the setting up of a fac ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... isfy any one of the limbs of the above benefit, exemption or concession, then credit of the input service would be available. This would be so even if the assessee does not satisfy other limb/limbs of the above definition. To illustrate, input services used in relation to setting up, modernization, renovation or repairs of a factory will be allowed as credit, even if they are assumed as not an activity relating to business as long as they are associated directly or indirectly in relation to manufacture of final products and transportation of final products upto the place of removal. This would follow from the observation of the Supreme Court in Kerala State Cooperative Marketing Federation Ltd. and Ors. v. Commissioner of Income-tax, 1998 ( ..... X X X X Extracts X X X X X X X X Extracts X X X X
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