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TMI Blog2020 (9) TMI 696X X X X Extracts X X X X X X X X Extracts X X X X ..... on was made for storage and disposal of Hazardous Waste which can be equated with construction of immovable property but not other than plant and machinery as found in the definition of works contract services. Further, it is difficult to arrive at a definite conclusion if the said setting up of a landfill is civil structure or not, in view of the fact that civil structure has to be a structure of a permanent nature and the life of landfill ends after the same gets fill up, as has been reflected in para 9 of the show-cause notice. Even by going through the definition contained in Rule 2(l) of CENVAT Credit Rules, 2004 dealing with exclusion clause, service portion in the execution of a works contract and construction service including se ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... - Dated:- 11-9-2020 - MR. C J MATHEW, MEMBER (TECHNICAL) AND DR. SUVENDU KUMAR PATI, MEMBER (JUDICIAL) Ms. Meetika Baghel, Advocate for the Appellant Shri Dilip Shinde, Assistant Commissioner (AR) with Shri Suresh Merugu, Joint Commissioner (AR) for the Respondent ORDER Denial of CENVAT credit to the appellant for construction of landfill in setting up of Common Hazardous Waste Treatment, Storage and Disposal Facility on Build, Own and Operate basis on the ground that the same is a works contract service involving civil construction that was covered under the exclusion clause of the definition of input services under Rule 2(l)(A)(a) of the CENVAT Credit Rules, 2004 is assailed by the appellant in these two appeals. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... /- that was confirmed in Order-in-Original passed by the adjudicating authority but in the appeal before the Commissioner (Appeals), duty demand of ₹ 35,02,488/- with penalty to the extent of ₹ 11,86,206/- equivalent to the reversed credit amount was confirmed. In appeal No. ST/85990/2018, appellant challenged the legality of such order. 4. In the memo of appeal and during the course of hearing of appeal, learned Counsel for the appellant Ms. Meetika Baghel submitted that the term civil structure clearly means a building or a part thereon. In view of the definition of civil structure of Rule 2(b) of the Kerala Value Added Tax Rules, 2005 which she borrowed as a reference in the absence of a clear definition in CENVAT Cred ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he definition of inputs service for which interference by the Tribunal in the order passed by the Commissioner (Appeals) is uncalled for. 6. We have taken note of the submissions of the adversaries and perused the case record. Short issue involved in this litigation is whether CENVAT credit availed by the appellant for construction/setting up of landfill is covered under the exclusion clause of the definition of inputs service given in Rule 2(l)(a) of the CENVAT Credit Rules, 2004 and if so whether entire credit availed by it is be denied by the appellant. In order to a ascertain the exact nature of works required to setup the landfill, reference to the show-cause notice from para 3 to 6 can be taken that was summed up in para 7 of s ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... it was done in a scientific process to ensure that toxic waste is managed effectively. Be that as it may, even by going through the definition contained in Rule 2(l) of CENVAT Credit Rules, 2004 dealing with exclusion clause, service portion in the execution of a works contract and construction service including services listed under clause B of Section 67E of the Finance Act excluding all other specified services therein are only excluded from the definition of inputs service and not the whole portion of work including raw material used etc. However, in the demand raised against the appellant, every expenditure concerning setting up of the landfill and tax paid there on was taken into consideration to deny the credits on the entire amou ..... X X X X Extracts X X X X X X X X Extracts X X X X
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