2015 (12) TMI 754

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....uthorities have denied the CENVAT credit to the extent of Rs. 2,21,776/- and has also confirmed interest and imposed penalty. 2. It is seen that the period covered in the present appeal is from March 2011 to January 2012. Undisputedly decision of various High Courts have held that outdoor catering service and insurance service are covered by the definition of input service, as appeared in Rule 2(l) of CENVAT Credit Rules, 2004. However it is seen that the period involved in the present appeal is post-April 2011 when there was amendment in the said Rule, which reads as follows:- Rule 2(l) : "Input Service" means any service,-  (i) used by a provider of output service for providing an output service; or  (ii) used by the....

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....e , in so far as they relate to a motor vehicle which is not a capital goods, except when used by (a) a manufacturer of a motor vehicle in respect of a motor vehicle manufactured by such person ;or (b) an insurance company in respect of a motor vehicle insured or reinsured by such person; or  (C) such as those provided in relation to outdoor catering, beauty treatment, health services, cosmetic and plastic surgery, membership of a club, health and fitness centre, life insurance, health insurance and travel benefits extended to employees on vacation such as Leave or Home Travel Concession, when such services are used primarily for personal use or consumption of any employee; 3. As is seen in terms of the said amended Rule, t....

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....des. There is no dispute about the factual or the legal position. The period involved in the present appeal is admittedly after 01/04/2011 and the amendment to the provisions of Rule 2(l) defining the input service came into existence w.e.f. 01/04/2011 only. The definition is extended by providing the inclusive as well as exclusive clauses. The exclusion clause was effective w.e.f. 01/04/2011 and Clause (C) of the said exclusion specifically excludes the services provided in relation to outdoor catering and health insurance or life insurance etc. Admittedly such services, prior to 01/04/2011, have been held to be covered by the definition of input services. In fact, the need for exclusion would arise only when the services are otherwise cov....