https://www.taxtmi.com/caselaws?id=752271 CESTAT Bangalore allowed the appeal regarding recovery of cenvat credit wrongly availed with interest and penalty. The adjudicating authority held that mark-up/milestone fees paid for permanent services including electricity, water, canteen facilities, and ETP charges were not input services under Cenvat Credit Rules, 2004. CESTAT rejected this reasoning, finding these services were necessary for manufacturing activities and used in relation to manufacture of finished goods. The tribunal emphasized that services categorized as Management Consultancy Services with service tax paid by the supplier and accepted by the department cannot be questioned when the recipient claims cenvat credit, following SC precedents in Sarvesh Refractories and MDS Switchgear cases. en-us Wed, 01 May 2024 00:00:00 +0530 Tue, 07 May 2024 07:28:03 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=752271 CESTAT Bangalore allowed the appeal regarding recovery of cenvat credit wrongly availed with interest and penalty. The adjudicating authority held that mark-up/milestone fees paid for permanent services including electricity, water, canteen facilities, and ETP charges were not input services under Cenvat Credit Rules, 2004. CESTAT rejected this reasoning, finding these services were necessary for manufacturing activities and used in relation to manufacture of finished goods. The tribunal emphasized that services categorized as Management Consultancy Services with service tax paid by the supplier and accepted by the department cannot be questioned when the recipient claims cenvat credit, following SC precedents in Sarvesh Refractories and MDS Switchgear cases. Case-Laws Central Excise Wed, 01 May 2024 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=752271