TaxTMI 
TaxTMI 
2024 (8) TMI 593
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....ed through the port of Vishakhapatnam, various port services are availed by the Respondent. In respect of the expenses incurred on account of port services, the vendors raise their bills under the heading of 'port services' and charge Service Tax. Such Service Tax paid by the Vizag Office has been distributed to the Respondent under the ISD Challans. The Respondents have taken the Cenvat Credit based on the ISD invoices issued for the 'port services'. The Show Cause Notices were issued on the ground that the services were rendered beyond 'the place of removal" and therefore they do not fall within the definition of Cenvat Credit in terms of Rule 2(l) of the Cenvat Credit Rules, 2004. The Adjudicating Authority after going through all the fa....
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.... (CESTAT Kolkata), Commissioner v Dhunseri Petrochem & Tea Ltd-2024 (3) TMI 1224 and in the case of Tinplate Company of India Ltd. v Commissioner-2020 (12) TMI 846. In all decisions, it has been held that various services provided in respect of CHA, Port services and other services rendered at the port subsequent to the "removal of the goods from the factory gate of the exporter", the assessee would be eligible to take the Cenvat Credit. He also refers to Circular No. 999/6/2015-CX dated 28 February 2015. Under this circular, it has been clarified that transfer of property can be said to have taken place at the port where the Shipping Bill is filed by the manufacturer-exporter and hence the same should be taken as the "place of removal" and....
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....these invoices, the Vizag office has transferred the Cenvat Credit pertaining to the services rendered at the port. There is no dispute that the service was rendered by the vendor and was also utilized by the Respondent for their exports. The Show Cause Notice has been issued on a very narrow interpretation of the term "place of removal" on the ground that the port from where the export is taking place is not the "place of removal". 8. This very issue was before the Hon. Gujarat High Court in the case of CCE v. Inductotherm India Pvt. Ltd.- 2014 (36) STR 994 (Gujarat High Court). The Hon'ble High Court has held as under:- 22. The question that begs the decision is as to whether cargo handling services can be said to have been used in or ....
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....nsports his finished goods from the factory, without clearance to any other place such as, go-down, warehouse, etc. from where it would be ultimately removed, such service is covered in the expression "outward transportation up to the place of removal" since such place other than factory gate would be the place of removal. It had been in clear terms held that outward transport service used by the manufacturer for transportation of finished goods from the place of removal up to the premises of the purchaser is covered within the definition of 'input service' provided in rule 2(1) of the Cenvat Credit Rules. Taking this analogy further, the cargo handling service is availed essentially for the purpose of exporting the goods and in suc....
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.... the amount claimed towards cargo handling as "input service" under the Cenvat Credit Rules." 11. Even though, the Hon'ble High Court has held that with regard to "Cargo Handling service", we find that the same ratio will be applicable to all three services which are in dispute before us since, all of them have been rendered in the port for export of goods. 12. By following the decision of the Hon'ble High Court, we conclude that the appellant will be entitled to CENVAT Credit. Accordingly, the impugned orders are set aside and appeals are allowed. [Emphasis supplied] 10. In the case of Tinplate Company of India Ltd. v. Commissioner 2020 (12) TMI 846 CSTAT Kolkata, the Hon'ble Bench has held as under:- 10.2 In the case of Commissi....
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.... stated cases and the instant case are similar, except that herein there are several other services, all rendered in the port of export of the final products. Hence the ratio laid down in the above decisions are fully applicable to the instant case. Therefore respectfully following the said decisions we hold that the appellant is entitled to the cenvat credit of the said services as "input service" within the meaning of Rule 2(l)(ii) of the Cenvat Credit Rules. [Emphasis supplied] 11. We find from the above decisions that the issue on hand is squarely covered. Accordingly, following the ratio laid down in the above decisions, we dismiss the Appeal filed by the Revenue on merits. 12. We also find force in the Respondent's argument that th....