Custom, Excise & Service Tax Tribunal
M/S Timken India Ltd vs Commr. Of Central Excise & S.Tax, Jsr on 6 November, 2017
IN THE CUSTOMS, EXCISE AND SERVICE TAX APPELLATE TRIBUNAL,
EAST REGIONAL BENCH : KOLKATA
S.T.Appeal No.436/12
Arising out of O/A No.70/JSR/2012 dated 24.05.2012 passed by Commr. (Appeals) of Central Excise & S.Tax, JSR
M/s Timken India Ltd.
APPELLANT(S)
VERSUS
Commr. of Central Excise & S.Tax, JSR.
RESPONDENT (S)
APPEARANCE Shri H.Jajodia, C.A. & Shri Manisha Mehrotra, C.A. for the Appellant (s) Shri S. S. Chattopadhyay, Supdt. (A.R.) for the Revenue CORAM:
MRS. ARCHANA WADHWA, HONBLE JUDICIAL MEMBER DATE OF HEARING/DATE OF DECISION : 06. 11. 2017 ORDER NO.F/O/77662/2017 Per Mrs. Archana Wadhwa :
After hearing both sides, I find that the present appeal relates to availment of cenvat credit of service tax being paid on the outward transportation of the appellants final product. As such, outward transportation is to their customer, which are railways and other domestic customer. Further, the appellant is also exporting their goods and used the transportation for clearance of goods from the factory gate to Port area.
2. The ld.Counsels appearing for the appellant, have drawn my attention to the various decisions laying down that when the sales are FOR basis, the manufacturer remains the owner of the goods till place of removal, which got shifted to the customers premises. However, he fairly agrees that in case of supply to the railways, they are recovering the freight element from the railways in terms of the agreement, but the said recovery is only relatable to the freight expenses without covering the service tax. As regards the Port area, reliance is placed upon the various decision laying down that in case of export, Port becomes the place of removal and all the expenses incurred till the Port area, has to be held as cenvatable expenses. Reliance is also placed upon the various decision on this issue. He also draws attention to the fact that such decisions were placed before the Commissioner (Appeals), who has differentiated the same on frivolous ground and part of the demand is also hit by the bar of the limitation.
3. I find that the law on the various issue stands settled and it is only the factual position, which requires verification at the hand to the original authority. Accordingly, I deem it fit to remand the matter to the original authority for fresh decision in the light of the law declared by the Tribunal and other Courts, after verification of the factual position. Inasmuch as the matter is being remanded, the issue of limitation as also clearances to the Depot, would also to be examined. Needless to say, the appellant would be given an opportunity to putforth their case. The appeal is thus allowed by way of remand.
Dictated and pronounced in the open Court Sd/ (ARCHANA WADHWA) MEMBER (JUDICIAL) mm 2 S.T.Appeal No.436/12