Place of removal for outward GTA credit requires factual verification of contracts, invoicing and freight arrangements before denial.

Cenvat credit on service tax paid for outward GTA transportation depended on whether the buyer's premises could be treated as the place of removal. The analysis turned on purchase orders, dealership terms, freight payment, insurance, invoicing practice, and the statutory scheme read with Circular No. 97/8/2007-ST dated 23/08/2007. Because the adjudicating authority had not examined the full documentary record and the factual position required verification of numerous transactions, the disallowance of credit was set aside. The matter was remanded to the Original Authority for fresh factual verification and decision, with all issues kept open.

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Issues: Whether Cenvat credit of service tax paid on outward GTA transportation was admissible on the facts of the case, which turned on whether the buyer's premises could be treated as the place of removal.

Analysis: The appeal required examination of the documentary evidence relied upon by the appellant, including purchase orders, dealership arrangements, freight payment, insurance and invoicing pattern, to determine the actual place of removal. The relevant inquiry had to be made with reference to the statutory scheme and the clarification in Circular No. 97/8/2007-ST dated 23/08/2007, and the factual matrix needed verification in light of the competing documents. As the adjudicating authority had not examined the entire material and the issue depended on verification of a large number of purchase orders and transaction records, the matter was considered fit for remand for a fresh factual finding.

Conclusion: The disallowance of credit was set aside and the matter was remanded to the Original Authority for fresh verification and decision, with all issues kept open.

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