2018 (11) TMI 68

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.... ineligible CENVAT credit in respect of services rendered by the service providers while setting up of their plant. Show cause notice was issued for demand and reversal of such CENVAT credit. Appellant contested the show cause notice on merits as well as on limitation. Adjudicating authority, after following due process of law, dropped the proceedings in respect of the demand raised for the recovery of Rs. 1,09,932/- while confirming demand of Rs. 9,61,652/-as ineligible CENVAT credit, interest thereof and imposed penalty of Rs. 4,80,826/-. An appeal was filed against such an order was rejected by the first appellate authority. Hence this appeal. 4. Ld. Counsel after drawing the attention of the Bench to the facts of the case submits tha....

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....radesh in the case of Rayalaseema Hi-Strength Hype Limited [2012(278)E.L.T 167 (AP)] has specifically recorded that unless the gods are used in the manufacture of capital goods, CENVAT credit cannot be claimed even on the repair and maintenance as for manufacture and the repair and maintenance of the plant can not be constituents in the process of manufacture of final products. 6. I have considered the submissions made at length and perused the records. As correctly pointed out by both sides, the issue is regarding availability of CENVAT credit of the service tax on labour charges which were for fixing and erection of equipments, buffing work, fixation and erection of equipment work, insulation work etc. for the activity undertaken by th....

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....ing of foundation or making of structures for support of capital goods, except for the provision of one or more of the specified services; or (B) Services provided by way of renting of a motor vehicle, in so far as they relate to a motor vehicle which is not a capital goods; or (BA) Service of general insurance business, servicing, repair and maintenance, in so far as they relate to a motor vehicle which is not a capital goods, except when used by (a) a manufacturer of a motor vehicle in respect of a motor vehicle manufactured by such person ;or (b) an insurance company in respect of a motor vehicle insured or reinsured by such person; or (C) such as those provided in relation to outdoor catering, beauty treatment, health ser....