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TMI Blog2018 (9) TMI 1495X X X X Extracts X X X X X X X X Extracts X X X X ..... ces of Repair, Renovation or modernization of the existing factory still exists in the inclusion clause of definition of Input Service given in Rule 2(l) of Cenvat Credit Rules, 2004. The intention of the legislation is very clear that only new construction under Works Contract service is excluded but the Repair, Renovation and Modernisation of existing factory still covered under the definition of Input Service - the services of Repair, Renovation of the factory is admissible Input service and credit is allowed. Appeal allowed - decided in favor of appellant. - E/10640/2018-SM - A/12027/2018 - Dated:- 24-9-2018 - Mr. Ramesh Nair, Member (Judicial) For the Appellant : Shri P.P. Jadeja, Consultant For the Respondent : Shr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... to September 2017. He submits that the appellant had intimated the jurisdictional officers about the details of credit taken for inputs, capital goods and input services by their letters in addition to filing of statutory return, ER-1 / ST-3. He referred to letters placed in the appeal at page 83 to page 89. He submits that there is complete disclosure of the fact regarding availment of credit and therefore, the demand is time-barred. 3. On the other hand, Shri Jeetesh Nagori, Ld. Additional Commissioner (AR) appearing on behalf of the Revenue reiterates the findings of the impugned order. He submits that the lower authorities have not verified whether the services are for repair, renovation or modernization. He further submits that the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ovider 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 up to the place of removal. After 1-4-2011, the definition is as under Input service means any service (i) used by a provider of [output service] for providing an output service; or (ii) used by a manufacturer, whether directly or indirectly, in or in relation to the manuf ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... pair and Renovation of the factory was not altered. Therefore, the intention of the legislation is very clear that only new construction under Works Contract service is excluded but the Repair, Renovation and Modernisation of existing factory still covered under the definition of Input Service. The Board Circular dated 29.04.2011 clarifies as under:- Credit of input services used for repair or renovation of factory or office is allowed. Services used in relation to renovation or repairs of a factory, premises of provider of output service or an office relating to such factory or premises, are specifically provided for in the inclusive part of the definition of input services. From the above clarification also it is crystal clear t ..... X X X X Extracts X X X X X X X X Extracts X X X X
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