TaxTMI 
TaxTMI 
2014 (12) TMI 1129
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....e Factories Act, 1948. The dispute in this case is about eligibility for cenvat credit in respect of two services availed by the Respondent outdoor catering service for providing the canteen facility for the workers and banking and financial services. The jurisdictional Asstt . Commissioner vide order-in-original dated 28.12.2011 disallowed the cenvat credit in respect of these services and confirmed cenvat credit demand of Rs. 11,99,219/- for the period from Jan. 2006 to October, 2010 along with interest and imposed penalty of equal amount on them. The Asstt . Commissioner held that these services have no nexus with the manufacture of final products. On appeal being filed by the respondent to the Commissioner (Appeals) against this order, ....
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....urt in the case of CCE, Ahmedabad-I Vs. Ferromatik Milacron India Ltd. - 2011 (21) STR 8 (Gujarat) and the judgement of Hon'ble Karnataka High Court in the case of CCE, Bangalore Vs. Stanzen Toyotetsu India (P) Ltd. reported in 2011 (23) STR 444 (Karnataka), that even otherwise, the number of workers in the respondent's factory is more than 250, and as per the provisions of Section 46 of the Factories Act, 1948, every factory having 250 workers or more, is required to provide canteen facility to the workers, that in view of this, providing of canteen facilities to the workers has to be treated as an activity in or in relation to the manufacture of final products, as without compliance of the statutory provisions of Section 46 of the....
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....Court in case of Ferromatik Milacron India Ltd . ( supra), judgement of Hon'ble Karnataka High Court in the case of Stanzen Toyotetsu India (P) Ltd. (supra) and of Hon'ble Bombay High Court in the case of Ultra Tech Cement (supra). In para 28 of its judgement in case of Ultra Tech Cement, Hon'ble High Court has observed that the definition of "input service" is very wide and covers not only the services which are directly or indirectly used in or in relation to the manufacture of final products, but also includes various services used in relation to the "business of manufacture of final product", be it prior to the manufacture of final products or after the manufacture of final products and that the definition of 'input serv....
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....act that the definition of "input service' is wider than the definition of "input" would make no difference in applying the ratio laid down in the case of Maruti Suzuki Ltd. (supra) while interpreting the scope of 'input service'. Accordingly, in the light of the judgment of the Apex Court in the case of Maruti Suzuki Ltd. (supra) , we hold that the services having nexus or integral connection with the manufacture of final products as well as the business of manufacture of final product would qualify to be input service under Rule 2(l) of 2004 Rules." Since during the period of dispute, definition of "input service" included the activities relating to business, in view of the judgement of the Hon'ble Bombay High Court, it ha....