TaxTMI 
TaxTMI 
2019 (2) TMI 746
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....d on inputs, capital goods and input services used by them according to the provisions of cenvat credit Rules, 2004. During the course of audit, the Department initially observed that the scrap of packing materials of inputs and other cenvatable goods were sold by the noticee during the period 01.03.2015 to January 2017 without payment of duty at the rate of 6% of the total value of scrap. It was also observed that the appellant has availed cenvat credit on goods, services which were used by them in civil structure or part thereof, construction, execution of work contract of original work and also for repair or maintenance services used in factory building and administrative buildings. The credit as availed was alleged to be inadmissible fo....
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....arded to the contractors for maintenance and repair of various such divisions existing in the plan. The maintenance and repair is impressed upon to have been in the inclusive part of the definition of input service. It is mentioned that Commissioner(Appeals) has committed an error while disallowing this credit. Various invoices of the said contractors have been impressed upon where the nature of works is mentioned as work contract but for the purpose of civil maintenance or repair or maintenance service. It is submitted that same cannot be held excluded merely because it is a work contract service. The Order of Commissioner(Appeals) disallowing the cenvat credit is therefore prayed to be set aside. 3. While rebutting these arguments, Ld.....
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....ve been allowed to the appellant by Commissioner(Appeals), the findings thereof also stands final for the same reason. The present adjudication now stands confined to the issue as to: Whether the input services as that of the works contract for the repair or maintenance used in the factory building and the administrative building alongwith other fabrication work and civil work is an eligible input service or not. The definition of input service as mentioned in Rule 2(1)(k) of Cenvat Credit Rules, 2004 is reproduced as under: "RULE 2(l) - Input Services "Input Service" means any service - (i) used by a provider of output service for providing an output service; or (ii) used by the manufacturer, whether directly or indirectl....
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.... 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 services, cosmetic and plastic surgery, 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;" The perusal of the definition shows that the services are classified as been inclusive and exclusive of the d....
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....ion and that these two are two separate services altogether. Apparently and admittedly the services provided by the contractor of the appellant to the appellant are the Repair and Maintenance Services though in the form of work contract for civil structure but for the purpose of repair and maintenance. The invoices as placed on record clearly mentions the same. Thus the services rendered is the work contract for the maintenance of already existing structure within the appellant's plant wherein is carried on the manufacturing of the petroleum products (final products) by the appellant. 6. Accordingly, I am of the opinion that the Commissioner(Appeals) has definitely committed an error while just relying upon the fact that the services pro....