TaxTMI 
TaxTMI 
2017 (6) TMI 324
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....ppellant is a PSU and was a 100% wholly owned subsidiary company of Coal India Ltd and is engaged in producing coal at its mines located in Madhya Pradesh. Coal has been made liable to Central Excise Duty for the 1st time w.e.f 01/03/2011 from which date the appellant started paying Central excise duty and availing the facility of CENVAT credit on various inputs, input services and capital goods as per the Cenvat credit rules, 2004. The dispute in the present appeal relates to the denial of CENVAT credit in respect of certain inputs which was claimed by the appellant. The periods involved are March 2011 to March 2012 and April 2012 to June 2012. Cenvat credit have been disallowed amounting to Rs. 85,79,745/- during the period March 2011 to ....
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....or a civil structure or a part thereof; or (b) laying of foundation or making of structures for support of capital goods, except for the provision of any taxable service specified in sub-clauses (zn), (zzl), (zzm), (zzq), (zzzh) and (zzzza) of clause (105) of section 65 of the Finance Act; (C) capital goods except when used as parts or components in the manufacture of a final product; (D) motor vehicles; (E) any goods, such as food items, goods used in a guesthouse, residential colony, club or a recreation facility and clinical establishment, when such goods are used primarily for personal use or consumption of any employee; and (F) any goods which have no relationship whatsoever with the manufac....
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....use of water sprinkler systems is within the mine area and these goods are very much covered under the definition of inputs. Consequently, the credit on these goods cannot be denied. 7. Next, we turn to the denial of Cenvat credit on certain inputs services. To appreciate the eligibility of the appellant to avail such credits, it is necessary to reproduce the definition of the term input services as per rule2(l): "input service" means any service,- i) used by a provider of taxable service for providing an output service; or ii) used by the manufacturer, whether directly or indirectly, in or in relation to the manufacture of final products and clearance of final products upto the place of removal, and i....
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....rgery, 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; 8. The credit stands denied in respect of the service tax paid on tyre re-treading services, maintenance of vehicles and security services availed at residential colonies. The credit on tyre re-treading services as well as maintenance of vehicles stand denied on the same lines as the denial of credit on lubricants. The essence of the ground is that heavy earthmoving vehicles such as dumpers are not considered as capital goods and hence the services incidental to their mai....