TaxTMI 
TaxTMI 
2013 (4) TMI 493
X X X X Extracts X X X X
X X X X Extracts X X X X
..../assessee is in the business of providing management consultancy services and had availed credit for various services claimed to be input services. Generically, the several input services for which Cenvat credit was availed by the assessee could be categorised as:- (a) Management, maintenance or repair service amounting to Rs. 27,33,762/-. (b) Employee Mediclaim insurance amounting to Rs. 25,79,766/-. (c) Cab hire rent-a-cab services amounting to Rs. 12,08,907/-. (d) Car parking renting of immovable property service amounting to Rs. 7,44,191/- amounting in all to Rs. 72,66,625/-. 4. Revenue assumed that the aforementioned services were not eligible for claim of Cenvat credit as input services and issued a Show Cause Notice dated 24.6.2011 asserting that these services fall outside the purview of input services, defined under Rule 2(1) of Cenvat Credit Rules, 2004 Rules as these were neither used for providing output service nor used directly or indirectly in relation to manufacture of final products or for clearance of final products and that consequently Rs. 72,66,625/-, being the amount of Cenvat credit availed fo....
X X X X Extracts X X X X
X X X X Extracts X X X X
....very of its output service viz. Management Consultancy Services. On the aspect of parking services the appellant's case is that it provides parking spaces. As many employees use their own cars / two wheelers, the appellant has taken on lease 432 car parking spaces from the owner of the premises DLF Cyber City Developers Ltd. (DLF) and this service is also integrally con nected with and related to the appellants business and constitutes input service. According to the appellant, Cenvat credit for the period April 2010 to March 2011 was correctly availed for the several services which constitute input services integrally connected with the output services. 7. Revenue disagrees with the submission of appellant and in the adjudication order ordered recovery of the Cenvat credit availed by the appellant besides imposing interest and penalties. Issue before us is thus whether the adjudication order is sustainable. 8. Input service is defined in Rule 2(l) of the Cenvat Credit Rules 2004 as :- Input services means any service (i) used by a provider of taxable service for providing an output service ; or (ii) used by the manufacturer, whether directly or indirectly, in or in ....
X X X X Extracts X X X X
X X X X Extracts X X X X
....d as input service used for providing output service under Rule 2(l) of the 2004 Rules (para 29.1). (c) Common area maintenance charges were collected by DLF on various ancillary services provided along with the leased premises. This is not covered under Rule 2(l). The said Rule covers only services received in the office of the service provider and common areas cannot be regarded as official premises integral to the provision of output service (para 30.1). (d) Provisions of employee mediclaim insurance does not also a direct nexus with providing the output services as is for the benefit of the employees, as a welfare measure. 11. On the aforesaid premises and reasons recorded the adjudication authority proceeded to order recoveries of the Cenvat credit availed by the appellant treating the same as ineligible. 12. In CCE, Banagalore-II Vs. Millipore India Pvt. Ltd. 2012 (26) STR 514 (Kar.) the issue whether landscaping of factory garden falls within the concept of modernisation, renovation, repair etc. of office premises eligible for Cenvat credit as input service and whether medical and personal accident policy, Group Personal Accident Policy,....
X X X X Extracts X X X X
X X X X Extracts X X X X
.....). Issue before that Court was whether the decision of the CESTAT that the assessee was entitled to avail Cenvat credit on outdoor catering services provided in the factory for its employees, is an input service credit. Though outdoor catering services is not specified as input service as defined in Rule 2(l), the Bombay High Court after noticing the decision of the Hon'ble Supreme Court in Maruti Suzuki Ltd. Vs. CCE 2009 (240) ELT 641 (SC) distinguished the observation in Maruti Suzuki Ltd. pertaining to elucidation of the expression input is not wholly applicable to comprehend the meaning of the expression input service and held that unlike the definition of input which is restricted to inputs used directly or indirectly in or in relation to manufacture of final product, input service not only includes services used directly or indirectly in or in relation to manufacture of final product but includes services used in relation to the business of manufacture of final products, as well. The Court proceeded to explain that input service as defined in Rule 2 (l) covers every conceivable service used in the business of manufacture of the final product that the categories of services e....