2026 (1) TMI 511

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....exmo Pipes and Products Limited [Texmo Pipes] is entitled to take CENVAT credit of the service tax paid on the outward transportation of goods for the period 2013-14 to June 2017. 2. It needs to be that the Texmo Pipes had availed CENVAT credit of Rs. 73.30 lakhs for the aforesaid period in respect of service tax paid on transport of goods availed for outward transportation of goods on Free on Road [FOR] destination basis from the factory gate of the respondent to the premises of the customers. It needs to be noted that Texmo Pipes had added the cost of transportation to the assessable value and paid the service tax. 3. The finding recorded by the Principal Commissioner on this issue is as follows: "46. I find force in the co....

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....rrect. 6. Shri Rohit Chaudhary learned counsel appearing for the respondent assisted by Ms. Preeti, however, placed reliance upon a decision of this Tribunal in M/s. Mangalam Cement Ltd. vs. Commissioner, Central Goods, Excise & Service Tax, Udaipur [Excise Appeal No. 51444 of 2018 decided on 17.10.2025] to contend that the view taken by the Principal Commissioner on this issue is correct. 7. There is substance in this submission advanced by learned counsel for the respondent. A Division Bench of the Tribunal in Mangalam Cement held as follows: "4. The appellant sells its final product to the customers on FOR destination basis and consequently remains responsible for getting the goods delivered till the premises of the buyer.....

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....(2024 (6) TMI 612 - CESTAT NEW DELHI), which placed reliance on the aforesaid two Larger Bench decisions of the Tribunal. 10. Shri Bhagwat Dayal, learned authorized representative appearing for the department, however, supported the impugned orders and submitted that they do not call for any interference in these appeals. 11. The admissibility of CENVAT credit of service tax paid on goods transport agency availed for outward transportation of goods on FOR destination basis has been upheld in M/s Prism Johnson Ltd. It also needs to be noted that in the own case of the appellant for the subsequent period from July 2014 to March 2015 as well as for the previous period from October 2011 to March 2012 this precise issue was dec....