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TMI Blog2019 (5) TMI 1347X X X X Extracts X X X X X X X X Extracts X X X X ..... ness of the appellant/assessee and also for purchase of capital goods, required for manufacture of the final products. It is not in dispute that the assessee availed the bank loans which were very essential to meed the business expenditure and to run the business. These loans facilities are taken and the charges of the Bank under various heads have to be paid and there is no alternative to it. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... to contest the issue on merits, which is admitted. 3. Since the dispute in the present appeal lies in a narrow compass, the appeal itself is taken up for hearing with the consent of both sides. 4. The facts of the case in brief are that the appellants have availed the facility of Cash Credit Account and Term Loan Account from the Oriental Bank of Commerce and the ba ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t submits that the CENVAT Credit of Service Tax paid on the loan processing fee and up-front fee charged by the bank has been claimed by the appellant. . It is his submission that the loan was taken for the business purposes and for purchase of capital goods which were necessary for manufacture of final product and also for running the day to day business. Hence, the expenditure incurred was direc ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... and there is no alternative to it. 9. It is my considered view that the Bank charges in the name of loan processing fee and up-front fee is in respect of business exigencies only and the service tax paid by them on this account falls within the ambit of activities relating to business . 10. In view of the above discussions, the impugned order is set aside. The app ..... X X X X Extracts X X X X X X X X Extracts X X X X
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