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of <h1>Tribunal Rules on Cenvat Credit: Excludes Catering, Rent-a-Cab Services; Remands for Further Review on Recoveries.</h1> <h3>M/s Suzuki Powertrain India Ltd. Versus CCE, Delhi-III</h3> M/s Suzuki Powertrain India Ltd. Versus CCE, Delhi-III - TMI Issues: Denial of cenvat credit on various services under Rule 2(l) of the cenvat credit rules, 2004 during 2005-06 to 2007-08.Analysis:The appellant appealed against the impugned order that denied cenvat credit on multiple services, alleging they were not input services under Rule 2(l) of the cenvat credit rules, 2004. The services in question included Air Travel Agent Service, Catering Service, CHA service (Export), Courier Service, Event management service, Group term insurance service, Hotel service, Rent a cab/Car service, Repair and maintenance service (car), Tour and Travel Service, and Construction service.The Tribunal heard both parties and reviewed the submissions. The Tribunal noted that the issue had been settled for the relevant period by the Hon’ble High Court Bombay in the case of Ultratech Cement Pvt. Ltd. The High Court held that any service availed by the assessee in the course of their business of manufacturing is eligible for cenvat credit. As all the services in question were utilized by the appellant in the manufacturing of excisable goods, the appellant was deemed entitled to avail cenvat credit on these services, except for catering service and rent a cab service.However, the Tribunal highlighted that the matter of catering service and rent a cab service required further examination by the adjudicating authority. The adjudicating authority needed to determine whether any amount towards these services had been recovered from the employees. If such recovery had taken place, the cenvat credit attributable to that amount would not be admissible. Consequently, the Tribunal remanded the matter back to the adjudicating authority for this specific assessment.In conclusion, the appeal was disposed of with the terms outlined, providing clarity on the eligibility of cenvat credit for the various services in question, except for catering service and rent a cab service, pending further examination by the adjudicating authority to ascertain potential recovery of amounts from employees towards these services.
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