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TMI Blog2021 (11) TMI 1108X X X X Extracts X X X X X X X X Extracts X X X X ..... T:- The definition of Input Service contained in Rule 2(l) ibid provided that activities relating to business should be considered as input service for the purpose of availment of the benefit of Cenvat facility. In this case, the Department has not raised any objection that the appellants had availed the input services for accomplishing their business purpose. Hence, under such circumstances, denial of Cenvat benefit on the input services availed by the appellant prior to the period 1-4-2011 cannot be denied solely on the ground that the disputed services are not categorised as input services. Cenvat credit on the input services for the period after 1-4-2011 - HELD THAT:- The definition clause provided under Rule 2(l) ibid clearly provided that any service used by a provider of taxable service for providing an output service should be considered as input service. The definition clause has provided the excluded category of services, which cannot be considered as input service. On careful examination of the case records, it is found that the list of disputed services itemized in the SCNs as well as in the impugned order are not conforming to the excluded category of services ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... before the Tribunal. 3. Sh. K.S. Ravishankar, Learned Advocate appearing for the appellants submitted that the period of dispute involved in these cases relate to both pre-amended and post-amended definition of Input Service contained in Rule 2(l) ibid. He further submitted that the appellants did not avail Cenvat credit in respect of inputs after 1-4-2011. In the appeal memorandum, the appellants had furnished the detailed list of disputed input services and their uses by the appellant in the course of providing the output service. The list is extracted hereinbelow : Sl. No. Input Service Received by the noticee Details of the usage by the noticee in the course of providing output services 1. Air travel agent services This service is used for purchase of air tickets for business travels to employees and directors of the company. Further it is submitted that all the air travel done by the employees and directors of the noticee-company and is exclusively for business purposes. No personal travel is incurred by the company. 2. Banking ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... in various places within the State of Karnataka and outside the State. They also have marketing agents outside the country. The courier services received by the noticee to send various documents, agreements, bills, receipts, vouchers, etc., from one place to another both internally as also with customers/vendors/ tenants, etc. This service is used for providing output service since while rendering the output service various documents legal or business, etc., are required to be sent or exchanged. Hence, this is covered under the main limb of the definition in Rule 2(l). In any case this service would qualify to be input service in terms of inclusive part of the definition. 7. Credit card, debit card or other card services These are in the nature of financing services received from banking and other financial institutions wherein the noticee has provided credit cards to the Senior Management personnel who use the card for procurement of goods and services required for conducting the business activities of the noticee or to effect payment for official matters on immediate basis to avoid delay in business operations. This is ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... vat credit as input service . This service is specifically covered in Rule 2(l) as input service as legal service . 12. Management, Maintenance or Repair Service It is submitted that noticee being engaged in real estate business has huge capital asset including computers, lifts/escalators, motor vehicles, office equipment, immovable properties, etc., which needs to be maintained and managed and repaired. The noticee receives various service providers who provided MMR service and charges service tax. The noticee has availed the Cenvat credit of the same as input service. This is an input service for providing output services such as renting of immovable property, MMR and other services. 13. Manpower recruitment agency service The noticee requires various manpower viz., skilled and unskilled personnel in order provide taxable output services including renting of immovable property, MMR service, etc. In order procure manpower for the purpose of carrying on the business, the noticee has received the services of manpower recruitment agency who have procured the servic ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nder the excluded category. Thus, he submitted that since the disputed services are not falling under the excluded category of services under the definition, the same should be considered as input service and accordingly, the benefit of Cenvat credit cannot be denied to the appellants. As regards denial of Cenvat benefit on inputs, the Learned Advocate has relied upon the decision of this Tribunal in the case of M/s. Millennia Realtors Private Limited v. CCE, Bangalore [2020-TIOL-435-CESTAT-BANG] and Golflinks Software Private Limited v. CCE, Bangalore [2018-TIOL-2877-CESTAT-BANG], to state that Cenvat benefit provided under the statute cannot be denied to the appellant. 4. On the other hand, Shri K.B. Nanaiah, Learned AR appearing for the respondent/Revenue reiterated the findings recorded in the impugned order. He further submitted that since the disputed services are not confirming to the definition of either Input or Input Services , defined under the Cenvat statute, denial of the Cenvat benefit by the Original Authority is in conformity with the statutory provisions and findings recorded by the Original Authority, cannot be disturbed at this juncture. 5. Heard both si ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ul examination of the case records, we find that the list of disputed services itemized in the SCNs as well as in the impugned order are not conforming to the excluded category of services finding place in the definition clause. Thus, denial of Cenvat benefit on the disputed services availed by the appellants after 1-4-2011 by the authorities below is not legal and proper and accordingly, in our view, the impugned orders are liable to be set aside. 9. The Learned AR submitted that the appellant had not provided any evidence to show that some of the disputed services are used for the construction activities. However, on a query from the Bench as to whether the Original Authority had recorded such findings in the impugned order, he replied negatively. 10. In view of the foregoing discussions and analysis, we do not find any merits in the impugned orders, insofar as the adjudged demands were confirmed on the appellant, holding that they should not be eligible for the Cenvat benefit. Therefore, by setting aside the impugned orders, all the appeals are allowed in favour of the appellants, with consequential relief, if any, as per law. (Dictated and pronounced in open Court) - ..... X X X X Extracts X X X X X X X X Extracts X X X X
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