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of <h1>High Court dismisses Revenue's appeal on CENVAT credit eligibility for input services.</h1> <h3>Commissioner of Central Excise & ST Mumbai Versus Ambuja Cements Ltd.</h3> Commissioner of Central Excise & ST Mumbai Versus Ambuja Cements Ltd. - TMI Issues:1. Availment of CENVAT credit on input services deemed ineligible.2. Disallowance of credit on repair and maintenance service, security agency service, outdoor catering service, and manpower supply service.3. Interpretation of the definition of 'input service' under CENVAT Credit Rules, 2004.4. Application of the five categories of input services as per legal precedents.5. Assessment of Revenue's contentions regarding the disputed services.6. Analysis of the grounds of appeal and cross-objections.The judgment addresses the appeal by Revenue against an order-in-appeal concerning the availment of CENVAT credit on input services deemed ineligible for the manufacture of goods. The original authority confirmed a demand covered by four show cause notices, and the impugned order further restricted the demand. Revenue sought disallowance of credit on repair and maintenance service, security agency service, outdoor catering service, and manpower supply service. The appeal was based on the definition of 'input service' in the CENVAT Credit Rules, 2004, requiring such services to be used in or in relation to manufacture, citing legal precedents such as Commissioner of Central Excise, Nagpur v. Manikgarh Cement Works and Maruti Suzuki Ltd v. Commissioner of Central Excise, Delhi. Revenue contended errors in submissions before the first appellate authority regarding the disputed services.The judgment refers to the decision of the Hon'ble High Court of Bombay in Coca-Cola India Pvt Ltd v. Commissioner of Central Excise, Pune-III, which interpreted the definition of 'input service' broadly. The High Court approved the allowance of CENVAT credit if any of the five enumerated categories were satisfied, including services used in or in relation to the manufacture of final products, clearance of final products, setting up or repairs of a factory, advertisement or sales promotion, market research, and activities relating to business and outward transportation. The judgment emphasized that each category of the definition of input service could be considered independently, allowing credit if any one category was satisfied, even if others were not. The judgment highlighted the importance of encouraging growth and promoting the co-operative sector in the economy.Upon analyzing the grounds of appeal, the judgment found that Revenue failed to establish that none of the specified categories applied to the disputed services. Consequently, the appeals of Revenue were deemed without merit and dismissed, with cross-objections also disposed of accordingly. The operative part of the order was pronounced in court, concluding the legal proceedings.
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