TaxTMI 
TaxTMI 
2011 (3) TMI 401
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....ut service" in Cenvat Credit Rules and gave a finding that this service is not covered by the said definition without giving any detailed reasons why he considers so. The Commissioner (Appeals) while examining the issue, gave a finding as under: "The appellant have contended that they have taken advisory services for seeking the advice from M/s Deloitte Touche Tohmatsu India for acquisition of another company for the purpose of sharing the overload of manufacturing activities of the existing sole manufacturing unit at Dharuhera. The appellant tried to interperate that the said input service is indirectly related to the manufacturing activity. This contention of the appellant cannot be accepted inasmuch as the said serv....
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.... . In that case, the impugned service was advertisement services but the observations made by the High Court in Para 25 in particular reproduced below:- "25. The expression Business is an integrated/continuous activity and is not confined restricted to mere manufacture of the product. Therefore, activities in relation to business can cover all the activities that are related to the functioning of a business. The term business therefore, in our opinion cannot be given a restricted definition to say that business of a manufacturer is to manufacture final products only. In a case like the present, business of assessee being an integrated activity comprising of manufacture of concentrate, entering into franchise agreement ....
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....ith a set purpose". The term 'business' therefore, particularly in fiscal statutes, is of wide import." 3. The Counsel further relies on the decision of Nagpur Bench of High Court of Judicature at Bombay in the case of CCE Nagpur Vs Ultratech Cement Ltd reported in 2010 (20) STR 577 (Bom). He relies on para 35 of the order which is reproduced below;- "35. The argument of the Revenue, that the expression 'such as' in the definition of input service is exhaustive and is restricted to the services named therein, is also devoid of any merit, because, the substantive part of the definition of 'input service' as well as the inclusive part of the definition of 'input service' purport to cover not only....
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.... emphasis the point that the list of services mentioned after the words 'such as' does not have an effect of restricting the definition of services eligible for credit. The list is only illustrative and not exhaustive. Therefore, he says the activity of 'management consultancy' to acquire a new factory, which could be put to use by the appellants, is connected with the business activity of the appellant. He also argues that raising of capital for the company is covered because 'financing' is covered specifically in the definition. 5. The learned DR on the other hand, reiterates the order of lower authorities. 6. The learned DR argues that acquisition of a factory for use in future was no nexus with the goods being manufactured and cle....
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.... capital of the existing company had to be raised to pay the share holders of the target company. Therefore, the bill raised by the consultant is in relation to providing advisory service for raising the equity capital of the appellant company. To that extent, the facts are recorded inaccurately. 11. In the case of Ultratech Cement, the Hon'ble High Court has clearly rejected that the service mentioned is illustrative and not exhaustive. The definition given under Rule 2(1) for input services includes activities like setting up of a factory which precedes manufacturing activity. It is also to be noted that once the assessee is eligible to take credit, there is no restriction in the Rules that the credit should be used on the product manu....