Cenvat credit on inward freight services follows binding precedent and remains available to the assessee.

Cenvat credit was held available for service tax paid on Goods Transport Agency services used for inward transportation of raw materials, because the issue was already covered by a binding earlier Madras HC decision against the Revenue. Applying that precedent to identical facts, the Court followed the same ratio and sustained the assessee's entitlement to the claimed credit. The substantial question of law was answered consistently with the earlier ruling, and the Revenue's challenge failed.

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Issues: Whether Cenvat credit could be utilised in respect of service tax paid on Goods Transport Agency services received for inward transportation of raw materials, and whether the Tribunal's order in favour of the assessee could be sustained in view of the earlier binding decision on the same question.

Analysis: The question was covered by an earlier decision of the same Court, which had already held the issue against the Revenue and in favour of the assessee. Following that binding ratio, the Court held that the present appeal stood on the same footing and that the assessee was entitled to the benefit claimed. The admitted substantial question of law was therefore answered consistently with the earlier precedent.

Conclusion: The issue was decided in favour of the assessee and against the Revenue.

Final Conclusion: The appeal was rejected and the assessee's entitlement to the disputed Cenvat credit position was left undisturbed.

Ratio Decidendi: Where the material question is already covered by a binding precedent of the same Court, the later case must follow that precedent and grant the same relief on identical facts.

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