AI Drafter 
TaxTMI 
TaxTMI 
TaxTMI 
2024 (1) TMI 180
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....ssioner of Central Tax, Secunderabad - GST, 2022 (59) GSTL 171 (Tri. Hyd) Coca Cola India Pvt Ltd vs. CCE, Pune - 2009 (15) STR 657 (Bom) Commissioner of C.Ex, Bangalore -II vs. Millpore India Pvt Ltd - 2012 (26) STR 608 (Tri. Del) Hindustan Zinc Ltd vs. Commissioner of Central Excise, Jaipur - 2015(37) STR 608 (Tri. Del) Ganesan Builders Ltd vs. Commissioner - 2019 (20) GSTL 39 (Mad.) Reliance Industries Ltd vs. CCE & ST - Vadodara- I - 2019 (6) TMI 194 - CESTAT Ahmedabad Commissioner of Central Excise, Mumbai vs. Reliance Inds. Ltd - 2018 (15)GSTL 366 (Tri.- Mumbai) Reliance Industries Ltd vs. Commissioner of C. Ex. & ST., LTU Mumbai - 2016 (45) STR 383 (Tri. Mumbai) Cantabil Retail India Ltd vs. Commissioner of Central Excise, Delhi - I, 2018 (17) GTSL 275 (Tri. Del) Universal Medicap Ltd vs. CCE & ST -Vadodara -II - 2022 (6) TMI 818 - CESTAT Ahmedabad International Flavours & Fragrance India Pvt Ltd vs. Commr. Of GST & Central Tax, Chennai South- 2022 (67) GSTL 581 (Tri. Chennai) 2.1. He also submits that the demand of cenvat credit was raised invoking the extended period i.e. beyond no....
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....e circumstances, the Tribunal was right in holding that the service tax paid in all these cases would fall within the input services and the assessee is entitled to the benefit thereof. In that view of the matter, we do not see any infirmity in the order passed by the Tribunal. Accordingly, the substantial questions of law framed in this appeal are answered in favour of the assessee and against the revenue. The appeal is dismissed. Hindustan Zinc Ltd. 2015 (37) STR 608 (Tri. Del.) 8. The period of dispute in these appeals is from October, 2004 to December, 2008. During this period, the definition of "input service" as given in Rule 2(l) of Cenvat Credit Rules, 2004 was as under :- "Input Service" means any service - used by a provider of taxable service for providing an output service, or; used by the manufacturer, whether or directly or indirectly, in or in relation to the manufacture of final products and clearance of final products upto the place of removal; and includes services used in relation to setting up of modernization, renovation or repairs of a factory premises of provider of output service or an office rel....
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.... on vacation such as Leave or Home Travel Concession, when such services are used primarily for personal use or consumption of any employee;]" Thus, the main difference between the definition of "input service" as it existed during the period prior to 1-4-2011 and it existed during the period w.e.f 1-4-2011 is that expression is "activities relating to business" in the inclusive portion has been deleted and some services have been specifically excluded from the purview of the term "input service". However, the period of dispute in this case is the period prior to 1-4-2011. The Commissioner has disallowed the Cenvat credit in respect of various insurance services on the two grounds - (a) A service for being qualified as "input service" in terms of its definition as given in Rule 2(l) of the Cenvat Credit Rules, 2004 must have been used in or in relation to the manufacture of final product i.e. should have nexus with the manufacture of final products and insurance services, in question, do not have any nexus whatsoever with the manufacture of final product. (b) Though the term "activities relating to business" has been deleted w.e.f. 1-4-2011, this amendmen....
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....f final products would be an eligible "input service. In this judgment, the Hon'ble Bombay High Court also considered the Apex Court"s judgment in the case of Maruti Suzuki Ltd. reported in 2009 (240) E.L.T. 641 (S.C.) and observed that Revenue"s contention based on this judgment of the Apex Court that "input service" in order to qualify for Cenvat credit must be only those services which have nexus with the manufacture of final products is not correct as unlike the definition of "input" which is restricted to the input used directly or indirectly in or in relation to the manufacture of final products, the definition of "input service" not only means service used directly or indirectly in or in relation to the manufacture of the final products but also includes services used in relation to business of manufacturing. In view of this judgment of the Hon'ble Bombay High Court the Commissioner"s finding that a service for being Cenvatable must be used in or in relation to the manufacture of final product whether directly or indirectly is not correct and any service having nexus with the business of manufacture which has been used by a manufacturer would qualify as an input ser....
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....ciary is not the patient who may at some stage suffer because of faulty performance of services by the doctor but the doctor himself. The patient who suffered will be eligible for compensation from the doctor as decided by the Courts. The doctor either has to pay the compensation out of his own pocket or take insurance policy to cover the risk. In the latter case, the doctor is the beneficiary (insured) and not the patient. (d) Product liability insurance: If the product of a manufacturer was found to be defective causing large consequential damage, he will have to pay enormous compensation. The product liability insurance indemnifies him against such a liability. 25. In all such cases, by paying a small premium the employer, the insurance company, the doctor or the manufacturer cover their potential liability. Reliance Industries Ltd. 2019 (6) TMI 194 - CESTAT AHM "4. Heard both the sides and perused the records. We find that the Appellant has taken the general Insurance policies to safeguard its petroleum Complex. The services of insurance as found from the list are integral to the safety. The value of plant and machinery running into thousands....
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.... inputs/input services availed by the appellant for undertaking their business operations. The appellant has also furnished Cost Accountant"s certificates certifying the above. For any reason, if the department does not want to place reliance on these certificates, under Section 14AA of the Central Excise Act, they can conduct special audit where the credit of duty availed of or utilised is not within the normal limits or such credit has been availed by reason of fraud, collusion or any willful misstatement or suppression of facts. The department has not invoked these powers available to it. In these circumstances, we are of the view that the matter has to go back to the adjudicating authority either to consider the Cost Accountant"s Certificates furnished by the appellant or to undertake special audit in terms of the powers of Section 14AA of the Central Excise Act and satisfy himself as to the eligibility of the credit taken by the appellant on these various services. Accordingly, we remand the case back to the adjudicating authority for de novo consideration." 9.1 It can be seen from the above reproduced paragraph that we had directed the adjudicating authority either t....
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....ious service providers who are insurance Companies. The insurance policies are taken by the respondent-assessee in respect of plant and machinery, inputs, other goods and factory building and building & residential township. It is also undisputed that the cost of such insurance is included in the valuation of the final product manufactured by them. We find that in the 1st round of litigation when the matter came before this Bench and this Bench while remanding the matter back to the adjudicating authority in paragraph No. 5.1 has recorded as under :- "5.1 Prima facie, we find that the costs of various services availed forms part of the assessable value of the goods manufactured and sold by the appellant. Therefore, there is no reason to deny Cenvat credit of the duty/taxes paid on the various inputs/input services availed by the appellant for undertaking their business operations. The appellant has also furnished Cost Accountant"s certificates certifying the above. For any reason, if the department does not want to place reliance on these certificates, under Section 14AA of the Central Excise Act, they can conduct special audit where the credit of duty availed of or utilis....