TaxTMI 
TaxTMI 
2009 (6) TMI 88
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....ut service which is provided by the appellants to their employees/officers. 2. Brief facts of the case are that the appellants are engaged in the manufacture of motor vehicles and its parts. The appellants have provided mobile phones to their employees and also maintaining the vehicles like bus and cars for providing transport facilities to their employees. On these two services the appellants have to pay service tax and have availed Cenvat credit as input services. The appellants were sewed show cause notices and the Cenvat credit availed by them have been disallowed and the same was confirmed vide order in-appeal. 3. Heard both sides and perused the records. 4. The learned Counsel for the appellants submits that the entire adjudi....
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....paid on mobile phones used by staff of output service provider, Cenvat credit in respect of Service tax paid on mobile phones used by service provider is admissible. (d) CCE, Bangalore v. Conzerv Systems (Pvt.) Ltd. - 2009 (13) S.T.R. 638 (Tri-Bang.) wherein it was also held that mobile phones used in or in relation to manufacture of final product used by employees in relation to work only and incidentally can be used for personal work but that by itself no ground to deny credit thereon in view of C.B.E. & C. Circular No. 97/8/2007- S.T., dated 23-8-2007. (e) CCE (LTU), Chennai v. Brakes India Ltd. - 2009 (13) S.T.R. 684 (Tri.Chennai) wherein also it was held "Telephone service received on mobile phones of assessee which were operated....
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....urther he relied on the decision in the case of Rajasthan Textile Mills v. CCE, Jaipur - 2007 (7) S.T.R. 400 (Tri-Del.) = 2007 (215) E.L.T. 362 (Tribunal) and Vasavadatta Cement v. CCE, Belgaum - 2008 (9) S.T.R. 79 (Tri.-Bang) = 2008 (223) E.L.T. 90 (Tribunal) wherein it was held that the appellant has to satisfy the authority that the input service like mobile phone has been used in or in relation to manufacture of final product for eligibility of credit. He further relied on the Order No. A/227-230/09 SMB C-IV dated 1-6-09 in Appeal No. ST/241 to 244/08 [2009 (16) S.T.R. 95 (Tri - Mumbai)] passed by this Tribunal wherein it was observed that "it is within anybody's knowledge that a mobile phone can be used by a person for multifarious pur....
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.... or in relation to manufacture of finished goods. In the facts of this case the Asst. Commissioner drew an inference from the statement of Shri V.S. Khasnis, the officer of the appellants that when there is no check on use it means this service are being used for the personal work of the employees. Further he did not verify from the re cords that the debit made to the employees in their account on account of excess use of mobile phones beyond their limit and the same is the case of vehicles. He has also not verified the purpose for which the vehicles are being used. 9. The adjudicating authority did not give any finding that the said ser vices availed by the appellants are not used for providing output service or used in or in relation t....