TaxTMI 
TaxTMI 
2026 (4) TMI 1228
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...., Marine Policy, Policy for stock at Job Worker/other depots, Renewal policy for fire at other officers/depots/Job Workers etc.), Professional Fees/Consultancy and Air fare expenses. Denying of those activities to be eligible input service that the Cenvat credit of service tax amounting to Rs.38,19,851/- availed during the period from August 2014 to April 2015 is proposed to be disallowed vide Show Cause Notice No. 84&86/83/2015 dated 03.09.2015. While adjudicating the said proposal, the original adjudication authority vide Order-in-Original No. 09/2016-17 dated 03.06.2016 has dropped the demand of Cenvat credit amounting to Rs.13,83,790/- with respect to Professional/Consultancy fees. The demand of remaining amount of Cenvat credit of Rs.2....
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....t has submitted that the impugned order has wrongly held that the Insurance Services were not used in or in relation to manufacture of final products and the same were used for other premises of the appellant. It is submitted that insurance policies were taken towards safety/performance of capital goods and such policies are indispensable important for the business. Such services are eligible for input service in terms of Rule 2(l) of Cenvat Credit Rules, 2004. To support his submissions, learned counsel has relied upon the following decisions: (i) Sify Technologies Ltd. Commissioner GST and C.Ex., Chennai South reported as 2019 (25) GSTL 308 (Tri.-Chennai) (ii) Gobind Sugar Mills Ltd. Vs. Commr. of C.Ex. & Service Tax, Lu....
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....ectly related to manufacture of final product, order denying the said amount of Cenvat credit is liable to be set aside. 4.4 Similarly, as regards to availment of Cenvat credit of Rs.5,24,174/- which were not addressed to appellant's unit, it is submitted that the appellant engaged Semac Consultants Pvt. Ltd. for detailed drawings and designs of factory layouts. Since the factory/project was based in Vadodara, the invoice was issued at factory unit only but the payments during the relevant period and for that purpose were handled by the appellant. Hence, the appellant was eligible for Cenvat credit of the said service tax paid. The order denying the same is prayed to be set aside. Learned counsel has relied upon the decision of this Trib....
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....nal in the case of M/s. Power Finance Corporation Ltd. Vs. Commissioner of Central Excise & Service Tax, LTU, New Delhi in Service Tax Appeal No. 50753 of 2017 vide Final Order No. 50502/2022 dated 09.06.2022, the present appeal is prayed to be dismissed. 6. Having heard the rival contentions, perusing the records and cases relied upon by both the parties, it is observed that at the first round of litigation this Tribunal in Final Order No. 50247/2020 dated 29.01.2020 has recorded the appellant's submission about having sufficient proof to show that the Cenvat credit of service tax paid on insurance cover has been taken for such services as were meant for appellant's own factories and that the appellant is in position to segregate such a....
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....) STR 871 (Tri.-Chennai) 8. Coming to the demand/reversal with respect to the service tax paid for insurance services,I observe that it is appellant's contention that the insurance was in respect of types of raw materials, finished and semi finished goods and stores used in the Ball Bearing Industry. Thus apparently the services of insurance were taken in relation to the manufacture of final product, though indirectly related. I further observe that the Cenvat credit on the service tax paid for such insurance service is denied for the only reason that the policies cover risk of the assessee sister concern of appellant also. It has been clear submission of the appellant that Cenvat credit is taken with respect to such insurance policies o....