The CESTAT upheld the denial of CENVAT credit on inputs used for...

The CESTAT upheld the denial of CENVAT credit on inputs used for laying foundations or making support structures for capital goods, as per the revised definition of 'inputs' and 'capital goods' under the CENVAT Credit Rules, 2004, for the period from 01.04.2011 to 31.03.2015. The denial of credit on Earth Excavation Works, being civil work excluded from the definition of 'input service' from 01.04.2011, was also upheld. However, credit on Erection, Commission, and Installation services used within the factory premises was allowed. The credit denial on Road Works inside the factory, being a civil structure excluded from 'input services', was upheld. The CESTAT approved the eligible CENVAT credit of Rs. 5.20 crores on structural steel items used for manufacturing capital goods, as verified by the Commissioner based on documents and Chartered Engineer's certificates. Since the entire demand, interest, and 25% penalty were paid within 30 days, the penalty u/s 11AC was set aside.