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TMI Blog2009 (8) TMI 62X X X X Extracts X X X X X X X X Extracts X X X X ..... er (Appeals) upheld the orders-in-original passed by Assistant Commissioner and Joint Commissioner denying the Cenvat credit in respect of input services namely coal unloading, GTA Services, Mobile Phones, Advertisement and Publicity, Equipment Rent, Vehicle Rent, Security Guard Services and Group Insurance. The appellants are a South Korea based company having an office at Chittorgarh and they are providing the service of operation and maintenance of captive power plant owned by M/s Hindustan Zinc Ltd. Though the agreement of the appellant with M/s Hindustan Zinc Ltd. specify separate charges for the services relating to operation and services relating to maintenance including certain services which are provided from the Head Office of the ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d the Joint Commissioner vide order-in-original No. 10/ST/JP-II/2007 dated 22/08/2007 confirmed the Cenvat credit demands of Rs. 3,80,156/- (Rupees Three Lakh Eighty Thousand One Hundred Fifty Six) and Rs. 8,82,081/- (Rupees Eight Lakh Eighty Two Thousand and Eighty One) respectively and beside this, penalty of Rs. 2,000/- (Rupees Two Thousand) and Rs. 5,000/- (Rupees Five Thousand) respectively under Rule 15 (3) of Cenvat Credit Rules, 2004 was imposed. On appeal to Commissioner (Appeals) against these two orders, the Commissioner (Appeals) vide impugned order-in-appeal dated 27/10/08 made an apportioning exercise and allowed input credit in respect of above-mentioned services only to the extent of Rs. 28,797/- (Rupees Twenty Eight Thousan ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... sallowed input credit in respect of these services. 2.2 Shri S.K. Bhaskar, the learned Departmental Representative, defended the impugned order pleading that the agreement of the appellant with M/s Hindustan Zinc Ltd. itself mentions separate charges for operation and maintenance and it is the services of maintenance which is taxable that since the service of the plant operation is not taxable, the appellant would not be eligible for Cenvat credit in respect of input goods and services are being used in relation to plant operation. He also pleaded that even if the appellant have agreed to pay service tax on the entire amount including the amount being charged for plant operation, they would not be eligible for input duty credit in respect ..... X X X X Extracts X X X X X X X X Extracts X X X X
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