2013 (11) TMI 21

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.... B.S.V. Murthy: The issue involved is whether the appellant is eligible for the benefit of CENVAT credit of service tax paid on outdoor catering services. The appellant has a factory and there is no dispute that the total number of workers is less than 250. Credit has been disallowed on the ground that there is no obligation cast on the appellant to provide canteen facilities to the employees a....

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....tratech Cement Ltd. [2010(260) ELT 369 (Bom.)] were relied upon to come to the conclusion that where the number of workers is less than 250 and there is no obligation cast on the manufacture to provide canteen facility, credit would not be admissible. She submits that in view of the fact that the decision is based on two High Court decisions which are in favour of the Revenue, the stay may not be ....

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....al with the subject, it would be appropriate to consider whether the two High Court decisions relied upon by the Tribunal in the case of IFB Industries can be considered to be laying down the law as submitted by the learned AR. Out of these two decisions, the decision in the case of Ultratech Cement Ltd. was considered in the case of Suzuki Powertrain India Ltd. by the Tribunal and the Tribunal ha....

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....th the High Courts, the submission made by the assessees was that they had more than 250 employees and as per the Factories Act, it was obligatory for them to provide canteen services. This fact was taken note of and credit was allowed. It has to be noted that the issue before both the High Courts was not whether credit is admissible when it is not obligatory under the Factories Act to provide can....