https://www.taxtmi.com/caselaws?id=260482 CENVAT credit is not admissible on service tax paid for services used in a residential colony and club room attached to a manufacturing unit, because Rule 2(l) of the Cenvat Credit Rules, 2004 requires a direct, indirect, or integral nexus with manufacture or the business of manufacture. Welfare facilities for employees in the colony and club house do not satisfy that input service test, so the credit denial and demand were sustained. Penalty under Section 11AC of the Central Excise Act, 1944 read with Rule 15(2) of the Cenvat Credit Rules, 2004 was deleted because the issue involved conflicting interpretations and was treated as debatable. en-us Fri, 13 Feb 2015 00:00:00 +0530 Sat, 12 Sep 2015 13:39:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=260482 CENVAT credit is not admissible on service tax paid for services used in a residential colony and club room attached to a manufacturing unit, because Rule 2(l) of the Cenvat Credit Rules, 2004 requires a direct, indirect, or integral nexus with manufacture or the business of manufacture. Welfare facilities for employees in the colony and club house do not satisfy that input service test, so the credit denial and demand were sustained. Penalty under Section 11AC of the Central Excise Act, 1944 read with Rule 15(2) of the Cenvat Credit Rules, 2004 was deleted because the issue involved conflicting interpretations and was treated as debatable. Case-Laws Service Tax Fri, 13 Feb 2015 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=260482