2018 (5) TMI 914

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....les commission for the sale of party's manufactured products. The Department has been of the view that the sales activity does not pertains to the promotion of the assessee's product, at the same time, the activity cannot be considered to be directly or indirectly related to the manufacture or sales promotion of the manufactured product and, therefore, does not fall in the inclusive part of the definition of input service, as provided under Rule 2 (l) of the Cenvat Credit Rules, 2004 and hence not entitled for Cenvat credit. 3. I have heard both sides and perused the case record of the appeal. 4. The Central Government vide Notification No. 2/2016-CE (ST) dated 03/02/2016 has amended the definition of 'input services' under Rule 2 (l)....

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....e effective retrospectively." 5. Thus, the matter is no longer res-integra as there have been several pronouncement of this Tribunal on this issue, on the basis of judgment in case of M/s Essar Steel India Ltd. (supra) and the benefit of Cenvat credit on the service tax paid on the sales commission has been allowed to the assessees. In one such case of this Tribunal in M/s Mangalam Cement Ltd. and ors. vs. CCE, Udaipur vide final No. 56683-56685 of 2017 dated 28/08/2017, the Tribunal has held that :- "4. With regard to availment of Cenvat credit on the commission paid for sale promotion activities, the CBEC vide Circular No. 943/4/2011-CX. Dated 29/04/2011 has clarified that Cenvat credit is admissible on the services of the sal....