2023 (3) TMI 126

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....missioner (AR) appearing on behalf of the revenue reiterates the grounds of appeal. He submits that the service provided during warranty period is after removal of the goods from the factory therefore, the service is not provided in or in relation to the manufacture of excisable goods. He submits that as per rule 2(l), the only services which were provided up to the place of removal is cenvatable whereas, in the present case the service of after sales service in respect of the goods manufactured and sold by the respondent was provided after removal and sale of the pumps therefore, the cenvat credit is not admissible. 03. Shri P D Rachchh, learned counsel appearing on behalf of the respondent submits that the after sale service during war....

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....rom the customer which is the service during the warranty period is provided free of cost therefore, the cost of such service stand included in the transaction value of the excisable goods sold by the respondent. In this fact, the service charges stand included in the value of the manufacture of goods hence, it can be conveniently viewed that the activity of servicing during warranty period is in relation to the manufacture of final product. Moreover, the servicing during warranty period is a vital part of the business activity of the respondent. 4.1 We find that Rule 2(l) particularly in the inclusion clause covers the 'activities relating to business' therefore, the said service during warranty period also clearly falls under the categ....