TaxTMI 
TaxTMI 
TaxTMI 
2022 (3) TMI 451
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....at credit of Rs. 9,70,836/- availed by the Appellant on service tax paid on services of Technical Testing and Analysis, Consulting Engineering etc. in respect of Lime Stones deposit during the period 01/06/2008 to 31/01/2010, alongwith interest and equal penalty. 2. The issue to be decided is whether the Appellant were entitled to avail Cenvat credit of Service Tax paid on the Services of 'Technical Testing and Analysis' and 'Consulting Engineer Services'? 3. It is the case of Revenue that the Appellant are engaged in manufacturing and marketing of Cement and Clinker and are having their manufacturing plant at Unit Rabriyawas, District Pali, Rajasthan. They were availing Cenvat credit on various inputs, input services and capital goods us....
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.... department, the learned Commissioner vide impugned order dated 19/07/2019, confirmed the aforesaid demand with interest and penalty and dismissed the Appeal. 4. Learned Counsel for the Appellant submits that the show cause notice as well as the proceedings before the authorities below were conducted on a factually incorrect premise that the expenses were incurred for mining at a new proposed unit, whereas the correct facts are that the expenses in issue were incurred for development of new mines at existing Rabariyawas Unit only and the limestones, if extracted, were intended to be used exclusively for that existing unit at Rabariyawas. According to learned Counsel, limestone is the major raw material of the Appellant for manufacturing Ce....
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....r submits that the Appellate Authority erred in relying upon the decision of the Hon'ble Supreme Court in the matter of Maruti Suzuki Ltd. Vs. Commissioner; 2009 (240) ELT 641 (SC) without taking note of the fact that the aforesaid decision of the Hon'ble Supreme Court in which the Hon'ble Supreme Court interpreted the definition of 'inputs', was doubted and was referred to a Larger Bench by another Hon'ble Bench of the Supreme Court in the matter of Ramala Sahkari Chini Mills Ltd. Vs. CCE- Meerut (I); 2010 (260) ELT 321 (SC) and the Hon'ble Larger Bench of the Supreme Court in the matter of Ramala Sahkari Chini Mills Limited Vs. CC, Meerut-I; (2016) 7 SCC 585 while relying upon the decision of Hon'ble three Judges Bench in the matter of ES....
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....he above services in their profit and loss account. Thus I find that the services cannot be treated to be in relation to business activities of the appellant as the services intended to be used to amortize the same expenditure over year. I find that when they have never started their new Plant then how they claim that credit of Technical Testing & Analysis. Consulting Engineer Services were used in connection with business activities of the appellant. It is obvious that these services have not been used directly or indirectly in the manufacture of goods because they have never started any manufacturing activities in their new plant. Thus I find that it cannot be said that these services are fulfilling the tests and conditions that are requi....
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....rut-I; (2016) 7 SCC 585 has laid down that word 'include' in the definition of input is used to enlarge the meaning of the preceding words and it cannot restrict the meaning therefore the authorities below erred in restricting the meaning of 'inputs' and denying the benefit of the same to the Appellant. The inclusive definition in a fiscal statute is a well recognized device to enlarge the meaning of the word defined and it expands the meaning of the basic definition. The facts in these cases are not in dispute that the expenses incurred by the appellant for using the services in issue were meant for their manufacturing business. Rule 2(l) must be read in its entirety and no interpretation can be given which is contrary to the plain and lit....
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..../unavoidable for the manufacturing activity of the Appellant can very well be said to be included in the definition of 'input service' as defined in Rule 2(l), CCR, 2004 and since Cement can be manufactured through limestone, therefore, limestone is an essential ingredient/input for the business of the Appellant and it's quality has a huge bearing on the quality of the final product i.e. Cement and therefore the requirement of services in issue are must for them. I also find from the record that the demand is for the period from June, 2008 to 31/01/2010, whereas the show cause notice was issued only on 27/01/2011, i.e. after almost beyond one year, by invoking the extended period on the ground of willful suppression on the part of the Appel....