TaxTMI 
TaxTMI 
2009 (5) TMI 379
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....olved is entitled of input service tax credit to the appellant on the following services. In other words, the appellants took credit of the service tax paid on the following services. The issue to be decided is whether in the light of the CENVAT Credit Rules, 2004, the said services are entitled for claiming input service tax credit under the rules. The following are the services : (1) Mediclaim policy (2) Security at depots (3) Vehicle insurance (4) Car rentals (5) Pest control activities The show-cause notice had been issued on the ground that all these services are not received in the factory premises of the appellants who are the manufacturers of Coca-Cola Beverages. However, the lower authority gave a finding that the....
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.... Our attention was drawn to the inclusive part of the input service which has enlarged the scope of the definition beyond the services used in or in relation to manufacture. In fact, many other activities which are not concerned with manufacture like credit rating, auditing etc., have been specifically included. Therefore it was argued that the Commissioner's interpretation that the input service should be related in or in relation to manufacture is not a correct interpretation of law. In fact our attention was invited to several recent decisions which hold that any activity or services related to business activity would be entitled to the benefit of service tax credit. Particularly our attention was invited to the decision of the Large....
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....t be accepted, as has been observed by the Supreme Court in the case of Union of India v. Hansoli Devi [2002] 7 SCC 273. A similar observation was made by the Apex Court in the case of RBI v. Peerless General Finance & Investment Co. Ltd. [1987] 1 SCC 424 referred to by the ld. Jt. CDR that the word 'include' is very generally used in interpretation clauses in order to enlarge the meaning of words or phrases occurring in the body of the statute; and when it is so used these words or phrases must be construed as comprehending, not only such things as they signify according to their natural import, but also those things which the interpretation clause declares that they shall include. But the word 'include' is susceptible of a....
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....s, Quality Control Cost, Research and Development Cost, Packing Cost, Administrative Overheads relating to production. To arrive at cost of production of goods dispatched for captive consumption, adjustment for Stock of work-in-progress, finished goods, recoveries for sales of scrap, wastage etc., shall be made.' '5.2 Direct wages and salaries Direct wages and salaries shall include house rent allowance, overtime and incentive payments made to employees directly engaged in the manufacturing activities. Direct wages and salaries include fringe benefits such as : (i) Contribution to provident fund and ESIS (ii) Bonus/ex-gratia payment to employees (iii) Provision for retirement benefits such as gratuity and superannu....