It is generally understood or misunderstood that all the services received by the assessee are eligible for Cenvat Credit and assessee usually avails Cenvat Credit of the service tax paid on all the services considering as ""input services. 

Here-in-below is one such instance, in which department has thought otherwise and matter went up-to tribunal. 

Whether these services are input services within the meaning of rule 2(l) of the Cenvat Credit Rules, 2004? 

• Mobile Phone Service

• CHA service in relation to export

•  Construction Service in relation to advertisement 

Following the decision in the matter of Indian Rayon Industries (Reported in 2006 -TMI - 620 - CESTAT, MUMBAI), Ahmedabad bench of CESTAT in the matter of M/s Excel Crop Care Limited (Reported in 2007 -TMI - 1456 - CESTAT, Ahmedabad), has held that "Mobile Phones" are "Input services". 

But, with related to other two issues, this bench has denied the Cenvat Credit and held that "CHA service in relation to Export" can not be held "in relation to business", since this does not have any nexus with the manufacture and clearance of goods from the factory. 

It was further held that, "Construction Service in relation to advertisement" can not be treated "in relation to advertisement".

Conclusion: 

Cenvat Credit of Service Tax paid on 

-  Mobile Phone - Allowed

- CHA service in relation to export - Disallowed

-Construction Service in relation to advertisement - Disallowed

See: Excel Crop Care Limited

Cenvat Credit: mobile phone services allowed, CHA export and construction-for-advertisement services not eligible under Cenvat rules. Mobile phone services qualify as input services and Cenvat credit is allowed; CHA services relating to export and construction services relating to advertisement lack the requisite nexus with manufacture or clearance and Cenvat credit is disallowed, per the tribunal's application of rule 2(l).