TaxTMI 
TaxTMI 
2022 (2) TMI 897
X X X X Extracts X X X X
X X X X Extracts X X X X
.... (CCR 2004, in short). During the period from June 2005 to September 2006, they availed the credit of the service tax paid on freight incurred for the outward transportation of the final products from factory to customers' premises and utilized the same for payment of duty on final products; and they determined the duty on the basis of the price at factory gate, which did not include the above freight. While so, the department issued a show cause notice dated 27.11.2006, proposing to recover the credit amounting to Rs. 1,73,53,490/- along with Education Cess for the period in question as also to impose interest and penalty on them. The said proposal was put to challenge by the appellant / assessee, before the Commissioner of Appeals, wh....
X X X X Extracts X X X X
X X X X Extracts X X X X
....mum penalty (equal to Tax + Cess) which is extremely harsh even on this own findings. 12.....The order of the Commissioner against M/s.SGGL is set aside and the case is remanded to him for requantification of demand in terms of this order and fresh consideration of the question whether the party is liable for penalty under Section 11AC and if so, to what extent. The said question may be addressed without regard to our observations. Needless to say, the assessee shall be given an effective opportunity of being heard also. Both the appeals are, accordingly, disposed of." Aggrieved by the final order of the Tribunal, the appellant / assessee has come up with this appeal. 2.This Civil Miscellaneous Appeal was admitted on 28.09.20....
X X X X Extracts X X X X
X X X X Extracts X X X X
....the applicability of the two judgments of the Hon'ble Supreme Court. The judgment passed by the Coordinate Bench are usefully extracted below: "The Revenue has filed this Appeal aggrieved by the order dated 27.07.2011 passed by the learned Tribunal disposing of a batch of appeals on the issue, whether the transportation charges incurred by the manufacturer for clearance of final product from the place of removal, are included in the definition of ''input service'' for eligibility to availment of CENVAT credit of service tax or not? 2.The learned Tribunal followed the decisions of the Karnataka High Court in the case of CCE & ST, LTU, Bangalore Vs. ABB Limited reported in 2011 [23] STR 97 [Kar.] and held....
X X X X Extracts X X X X
X X X X Extracts X X X X
....e ''Board''] as per which the definition of ''input service'' was clarified and the Circular also provided the conditions which are to be satisfied to cover the case within ''place of removal''. The three conditions contained in the circular are [i]regarding ownership of the goods till the delivery of the goods at the purchaser's door steps; [ii]seller bearing the risk of or loss or damage to the goods during transit to the destination and [iii]freight charges to be integral part of the price of the goods. ... 8.As can be seen from the reading of the aforesaid portion of the circular, the issue was examined after keeping in mind judgments of CESTAT in Gujarat Ambuja Cemen....