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TMI Blog2023 (9) TMI 1403X X X X Extracts X X X X X X X X Extracts X X X X ..... s of Rule 2 (l),Rule 7 and Rule 9 of the Cenvat Credit Rules, 2004. HELD THAT:- It is found that the assessee s own case for the earlier period, this issue came up before this Tribunal in M/S. HINDALCO INDUSTRIES LIMITED VERSUS COMMISSIONER OF CENTRAL EXCISE, KOLKATA-II [ 2023 (6) TMI 457 - CESTAT KOLKATA] and this Tribunal has observed the services rendered by the ABMCPL is rightly classifiable under the category of Business Support Service and ABMCPL has rightly paid Service Tax under the said category. The service tax paid by ABMCPL has been rightly distributed to their group companies, including Appellant. As the issue has already been decided in favour of the assessee, therefore, the service rendered by ABMCPL is rightly cl ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ities in the areas of human resources, legal support, logistics, infrastructure, information technology, business strategies, research and development, training etc. 3.3 Accordingly, ABMCPL obtained service tax registration under the category of Business Support Service (BSS) to be provided to the group companies duly discharged service tax thereon. 3.4 The assessee availed cenvat credit of service tax paid on invoices issued by ABMCPL during the impugned period. 3.5 However, the Revenue is of the view that the availment of cenvat credit of service tax paid on BSS provided by ABMCPL to the assessee is not eligible on the ground that the assessee failed to establish the corelation between the various services received from ABMCPL ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e up before this Tribunal and this Tribunal vide its Final Order No.75610/2023 dated 09.06.2023, has observed as under : 10. We observe that the Appellant has provided various services to their group companies to enable them to optimize the benefit of specialization and achieve economies of scale. The Appellant claimed that the services provided by ABMCPL to the group companies fall within the definition of Business Support Service defined under Section 65(104c) of the Finance Act, 1994, which is reproduced below:- support services of business or commerce means services provided in relation to business or commerce and includes evaluation of prospective customers, telemarketing, processing of purchase orders and fulfilment ser ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 02.2009 and TRU s Letter No.334/4/2006-TRU, dated 28.02.2006 which clarified the scope of BSS. As per the Board Circular cited above, services which are in the nature of assistance or support provided by the principal to the service recipient would fall under BSS. In the present case, the services rendered by ABMCPL being in the nature of support service provided to the Appellant, qualify as BSS as defined under section 65(104c) of the Finance Act, 1994.The manner of arriving at the value of services rendered would not change the nature of BSS provided by ABMCPL i.e., whether ABMCPL only recovered the expenses incurred or even charged a profit element. Section 67 of the Finance Act, 1994 provides that value of any taxable service is the gro ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... on, we hold that the services rendered by the ABMCPL is rightly classifiable under the category of Business Support Service and ABMCPL has rightly paid Service Tax under the said category. The service tax paid by ABMCPL has been rightly distributed to their group companies, including Appellant. 8. As the issue has already been decided in favour of the assessee, therefore, we hold that the service rendered by ABMCPL is rightly classifiable under the category of BSS and ABMCPL has rightly paid the service tax under the said category and the service tax paid by ABMCPL has rightly been distributed to their group companies including the assessee. 9. In that circumstances, we hold that the assessee is entitled to take the cenvat credit ..... X X X X Extracts X X X X X X X X Extracts X X X X
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