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TaxTMI 
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TaxTMI 
2019 (7) TMI 1172
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.... services. After litigations, the Commissioner (Appeals) allowed credit in respect of all services except that of GTA Services [Rs. 1,23,326/-] and Courier Services [Rs. 49,680/-]. The matter reached the Tribunal and vide Final Order No.42144/2016, dated 09.11.2016, the matter was remanded to the adjudicating authority to decide in terms of the Tribunal decision in the case of M/s. Lucas TVS Ltd., reported in 2016 (43) S.T.R.418. In de novo adjudication, the Assistant Commissioner allowed the credit and set aside the demand in respect of the GTA Services [Outward] as well as Courier Services [Outward]. Against this, the department filed appeal before Commissioner (Appeals), who vide order impugned herein held that the place of removal is th....
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....from the factory to the port only. The discussion made by the Commissioner (Appeals), that it is not whether clear the appellant has availed credit upto the destination [i.e., Frankfurt, Montreal etc.,] is factually and legally incorrect. The goods having been exported by Air, it is clear that GTA Services could be availed only upto the port. 2.1 The appellant-Company being a 100% E.O.U. has exported their finished products. As per Circular No.999/6/2015-Cx., dated 28.02.2015, the Board has clarified that in case of export of goods, the transfer of property could be said to have taken place at the port where the shipping bills are filed by manufacturer-exporter. Where the goods are further carried to the destination, the appellant is eli....
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....ntent that the GTA Services have been availed only upto the port and that the service tax credit has been availed only for GTA Services upto the port, it is not clear from the documents whether they have not included the Air freight charges also, while availing the credit. She adverted to the consignment note referred to by the learned counsel for the appellant and submitted that in single consignment note, the transportation charges are Rs. 3,800/- whereas, as per annexure to the show-cause notice for the period Apr.'09 to Mar.'10 itself, the service tax liability for GTA Services comes to Rs. 46,168/-. The quantity of chemicals exporter by the appellants as seen from the purchase orders, bill of entries is very meager quantities. It canno....
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....ax on GTA Services upto the port only. The learned Authorised Representative has raised strong objection stating that it is not clear whether the Air freight have been included in the GTA charges for availing the credit. She has also referred to the observations made by the Commissioner (Appeals) in paras 5, 6 and 7 of the order. She has also reflected to the figures in the show-cause notice to argue that such high amount of service tax cannot be co-related with the meager quantities of goods/chemicals transported by the appellant. That, therefore, the said GTA Services must have included the freight charges for transport of the chemicals to foreign destinations. 5.2 I have given my anxious consideration to these rival contentions. On pe....
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....passing on of the property in goods from the seller to the buyer and it is the factory gate or the warehouse or the depot of the manufacturer which would be the place of removal since it is here that the goods are handed over to the transporter for the purpose of transmission to the buyer. It is in this backdrop that the eligibility to Cenvat Credit on related input services has to determined. 5. Clearance of goods for exports from a factory can be of two types. The goods may be exported by the manufacturer directly to his foreign buyer or the goods may be cleared from the factory for export by a merchant exporter. 6. In the case of clearance of goods for export by manufacturer exporter, shipping bill is filed by the manuf....