2012 (7) TMI 745

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....ty to the credit of service tax paid by the appellant. In case of insurance premium, the authorities opined that the evidence relating to payment of insurance was not in the name of the appellant and service tax paid in respect of clearing and forwarding service by Yadav Associates also does not relate to the appellant. 2.1 Ld. Counsel appearing for the appellant submits that necessary evidence in support of claim of the Service tax paid on insurance available at page 15 read with contents of page 24 of the appeal folder establishes that 25200 MT of Anthracite Coal was imported from Russia as is evident from agreement between the PEC and the appellant, available at page 56 of the appeal folder and insurance premium was paid on such impor....

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....he credit on service tax paid on insurance policy since that was in the name of a different concern with whom the appellant made agreement in respect of the high seas sale claim. 4. Heard both sides and perused the records. 4.1. Show cause notice issued to the appellant as appearing in pages 9 to 12 of the appeal folder in para 5 requires the appellant to discharge its burden of proof to substantiate use of the input service in relation to the manufacture and clearance of excisable goods. Such an aspect which is basic requirement of law has not been examined by both the authorities below. Nor also there is any evidence to show that the appellant has discharged its burden of proof. So far as the service tax payment on insurance is conc....

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....he Original authority has to be satisfied that requirement of Rule 9(5) of the Cenvat Credit Rules is fulfilled and service tax paid was relating to input service that was ultimately used in manufacture of excisable goods. If he is satisfied that there is nexus, dependability, integrity, indispensability and inevitability, there may not be difficulty to consider the claim of the appellant. To do so, the original authority shall provide proper opportunity to the appellant to lead its defence and argue the matter on the basis of materials on record without any fresh material or evidence being inducted in the course of de novo proceeding. 4.3 Since the matter is proposed to be sent back to the Original Authority, the question of time bar sh....