2016 (3) TMI 892

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.... goods for the period March, 08 to Dec, 09. It is the case of the appellant that the title of the goods passed on to the buyers on delivery to him and they have fulfilled the conditions laid down by the Board's Circular dated 23.8.2007 and the adjudicating authority has recorded the same and allowed the CENVAT Credit by dropping the proceedings initiated by the show-cause notice. On an appeal, the first appellate authority set aside the Order-in-Original. 4. Learned Counsel for the appellant placed reliance on the judgment of the Hon'ble High Court of Karnataka in the case of Madras Cement Ltd. Vs. Commissioner of Central Excise - 2015-TIOL-1682-HC-KAR-CX which was delivered on 2.7.2015 for the proposition that the CENVAT Credit is....

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.... the final products are insured by the assessee themselves and there is term of delivering the goods to the doors of the customer. This clearly indicates that the ownership of the final product is with the assessee till the handing over of the goods at the doors of the customer." As against such a factual finding in impugned order, I find that there is no contradiction of such finding and first appellate authority only relied on the provision of Cenvat Credit Rules to hold against the appellant herein. The learned Counsel was correct in bringing to my notice that the rational judgment of the Hon'ble High Court of Karnataka in the case of Madras Cement Ltd. (supra) was considering an identical issue, post amendment to definition of inpu....

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....stablish the fact of insurance coverage by the assessee." The sale was thus considered by the assessing officer to have been finalized at the factory gate and therefore the assessee was not found eligible for Service Tax credit availed by it on outward freight. No finding on merits with regard to such benefit being denied to the petitioner, was given by the Tribunal. 8. Having heard learned counsel for the parties and considering the facts and circumstances of this case, we are of the considered view that as long as the sale of the goods is finalized at the destination, which is at the door step of the buyer, the change in definition of 'input service' which came into effect from 01.04.2008 would not make any difference. A perusa....

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....e a material consideration. The same has also been made clear by the Central Board of Excise and Customs, Department of Revenue, Ministry of Finance, in its Circular dated 20.10.2014. 10. Sri C.Shashikantha, learned counsel for the respondents has submitted that he has received written instructions from the Commissioner of Central Excise and Service Tax, Bangalore, mentioning that in view of Rule 2(qa) of the CENVAT Credit Rules 2004 and the clarification given in paragraph-6 of Board's Circular dated 20.10.2014, the contention of the appellant-assessee should not be accepted and as such, assessee would not be entitled to CENVAT credit on outward transportation of goods on the ground that the place where sale has taken place or proper....