2016 (3) TMI 197

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....cuments of the appellants it was found that they have availed cenvat credit of service tax paid on various services viz., Clearing and forwarding, repair contract, labour contract and professional charges etc., during the period August, 2010 to December, 2011, which worked out to Rs. 1,68,148/-. A show cause notice was issued alleging that the services do not qualify as input services as defined under Rule 2 (l) of, 2004 and why the same should not be demanded from them under Rule 14 of CENVAT CREDIT RULES, 2004 read with Section 11 A of CENTRAL EXCISE ACT, 1944, along with interest and penalty. The Dy. Commissioner while passing the OIO dated 11.01.2012, allowed the credit in respect of courier charges and labour contract service and parti....

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....he buyers. She further submits that the place of removal in case of exports will be the port. This position has been clarified by the Board vide the Master Circular No. 96/3/2007 dated 23.08.2007. She submitted that accordingly the clearing and forwarding services used for exporting their final products is used in relation to their business activities and they have rightly availed the credit and the demand is liable to be set aside. She also referred to the findings recorded at para-8 of the Adjudicating Authority. In respect of clearing and forwarding service she relied on the decision of the Tribunal in the case of CCE, Ahmedabad Vs. Fine care Biosystems - 2010 (17) STR 168 (Tri.-Ahmd.). Regarding professional charges, she submitted that ....

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....en rightly disallowed. 4.2 Regarding repair contract service, wherever there was direct nexus to the manufacture, credit was allowed and the balance credit of Rs. 4,687/- availed against the same service was not allowed as the documents failed to prove their claim. She drew my attention to pages 10 & 11 of the Order-In-Original and submitted the adjudicating authority recorded the details of all the invoices, which is self-explanatory. 5. After hearing both sides and on perusal of records, I find that the issue to be decided is whether credit availed on service tax paid on various services which are repair contract service, clearing and forwarding service and professional charges service etc., qualify as input services in relation to ....