TaxTMI 
TaxTMI 
2010 (9) TMI 517
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....e appellants are that these services have been availed by them for clearance of their finished products and in the case of export the port is the place of removal. The input service credit on service tax wag denied holding that the credit is allowed only if input services are used in or in relation to the manufacture of final products and clearance of final products upto the place of removal. 3. By relying on the decision of this Tribunal in the case of Excel Crop Care Ltd. v. CCE [2007] 9 STT 249 (Ahd. - CESTAT) the learned Advocate for the appellant submitted that, in fact, the appellants have availed the services of CHA upto the place of removal of their final product and as per Rule 2(1) of the CENVAT credit Rules, 2004, the a....
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.... 6. I have examined the submissions made by both the sides. The issue in dispute is that whether the appellants are availed CENVAT credit of service tax paid on services of CHA for clearance of final product upto the place of export i.e., upto the port or not? 7. The reliance placed by the ld. DR are not any where relevant to the facts of this case as in the case of Maruti Suzuki Ltd. (supra), the Hon'ble Supreme Court has dealt with the issue of credit on inputs and the case before me deals with the input service credit. Further, in the case of Sundaram Brake Linings (supra), the issue before the Tribunal was whether the assessee is entitled for input service credit on outdoor catering service but the issue before me is Whethe....
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.... (i) a factory or any other place or premises of production or manufacture of the excisable goods; (ii) a warehouse or any other place or premises wherein the excisable goods have been permitted to be stored without payment of duty; (iii) a depot, premises of a consignment agent or any other place or premises from where the excisable, goods are to be sold after their clearance from the factory; from where such goods are removed. It is, therefore, clear that for a manufacturer/consignor, the eligibility to avail credit of the service tax paid on the transportation during removal of excisable goods would upon the pace of removal as per the definition. In case of a factory gate sale, sale from a non-duty paid wa....
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....to the place of removal, all the services tax paid to facilitate goods to reach the place of removal has to be eligible for the benefit of CENVAT credit. Further the definition of input service also includes any service used for manufacture directly or indirectly in or in relation to the manufacture of final products and clearance of final products from the place of removal. There is no dispute that the CHA services are required to facilitate clearance of final products from the place of removal i.e., the load port. Coming to the conflict between the two decisions Tribunal cited, it is noticed that the decision in the case of M/s. Excel Crop Care Ltd., was rendered on 30-4-2007 whereas the circular was issued by the CBEC on 23-8-2007 and th....