TaxTMI 
TaxTMI 
2018 (7) TMI 914
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....along with interest and for imposing penalties. After due process of law, the original authority disallowed credit on certain input services which was partly upheld by the Commissioner (Appeals). Aggrieved by the disallowance of credit on various input services, the appellant is now before this Tribunal. 3. On behalf of the appellant, ld. counsel Shri M. Kannan has furnished the details of the input service credit involved in various appeals which are tabulated as under:- Appeal No. Period of Dispute Input Service E/40341/2018 6/2010 to 4/2011 Group Health Insurance (1,38,823) Convention Service (2,600) Commercial construction (5,354) Penalty (1,46,237) E/40342/2018 10/2011 to 3/2012 Commercial Construction (8,....
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....more than 600 employees under the assessee. 3.2 With regard to convention service, he submitted that the services were availed prior to 1.4.2011 and as per the definition of 'input service' as it stood prior to 1.4.2011, the said service which were used for training of employees is eligible for credit. He adverted to page 11 of the Order-in-Original and submitted that the credit stands disallowed by the authority stating that the appellant has not produced any supporting documents. The appellant had made relevant entries giving the details of the service provider in their accounts. As per proviso to Rule 9, the AC/DC is required to verify and satisfy as to whether credit availed is correctly accounted and then allow the credit if it is p....
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....has come into existence only with effect from 1.7.2012, the appellant is eligible for credit. 3.6 Service tax paid on air-conditioner maintenance service has been rejected for the reason that these services have no nexus with the manufacturing activity. He submitted that it is necessary to maintain the air-conditioner which have been installed in the appellant's factory. He relied upon the decision in the case of Sarita Handa Exports (P) Ltd. Vs. Commissioner of Central Excise, Gurgaon - 2016 (44) STR 654 (Tri. Chan.). 3.7 He prayed that the issues relating to convention service, commercial construction service may be remanded and the credit in respect of other services may be allowed. 4. The ld. AR Shri S. Govindarajan supported t....
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....rance, Convention Service, Construction Service, Air-conditioner maintenance service and rent-a-cab service are eligible for credit prior to 1.4.2011. In respect of Group Health Insurance in Appeal No. E/40341/2018, ld. counsel has submitted that except one invoice all the invoices relate to the period prior to 1.4.2011. I hold that the credit availed on this input service for the period prior to 1.4.2011 are eligible for credit as per the definition of input service as it stood prior to 1.4.2011. 6.1 With regard to group health insurance, the ld. counsel has submitted that the said services were availed for taking insurance coverage for the employees. Since the appellant has more than 600 employees, it is mandatory for them to take insu....
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....r to 1.4.2011 as well as after 1.4.2011 is eligible for credit. 6.2 With regard to rent-a-cab service, the ld. counsel has submitted that the said services are not used for activities relating to manufacture. The demand in respect of rent-a-cab service in Appeal No. E/40342/2018 is upheld along with interest and the penalties thereof. 6.3 The ld. counsel has submitted that commercial construction service were availed n Appeal Nos. E/40342/2018, E/40343/2018, E/40344/2018 and E/40345/2018 for the purposes of modernization and renovation of the factory and office premises. He submitted that the appellant would be able to furnish documents to establish the same. I therefore deem it fit to remand the matter on this issue to the adjudicati....