Custom, Excise & Service Tax Tribunal
M/S. Ucal Fuel System Ltd vs Cce, Chennai on 12 April, 2011
IN THE CUSTOMS, EXCISE & SERVICE TAX
APPELLATE TRIBUNAL
SOUTH ZONAL BENCH AT CHENNAI
Appeal No. E/755/2010
(Arising out of Order-in-Appeal No.143/2010 (P) dated 16.8.2010 passed by the Commissioner of Central Excise (Appeals), Chennai)
For approval and signature:
Honble Ms. Jyoti Balasundaram, Vice-President
1. Whether Press Reporters may be allowed to see the Order for Publication as per Rule 27 of the CESTAT (Procedure) Rules, 1982?
2. Whether it should be released under Rule 27 of the CESTAT (Procedure) Rules, 1982 for publication in any authoritative report or not?
3. Whether the Member wishes to see the fair copy of the Order?
4. Whether Order is to be circulated to the Departmental authorities?
M/s. UCAL Fuel System Ltd. Appellants
Vs.
CCE, Chennai Respondent
Appearance Shri K. Mani, Consultant for the Appellants Shri C. Dhanasekaran, SDR for the Respondent CORAM Honble Ms. Jyoti Balasundaram, Vice-President Date of Hearing: 12.04.2011 Date of Decision: 12.04.2011 Final Order No. ____________ CENVAT credit of service tax of Rs.1,28,914/- has been disallowed on the ground that the assessees did not mention the nature of the taxable services in any of the documents on the basis of which credit has been taken.
2. I have heard both sides. I find that the show-cause notice itself proceeds on the basis that the bills raised by the service provider, M/s. UCAL Exports P. Ltd. were for service charges towards preparation of documents and other export related services for exportation of the assessees final products, namely carburetor and parts. I have also perused some of the documents and find that the bills of M/s. UCAL Exports Pvt. Ltd. are towards service charges for preparing pre-shipment and post-shipment documents in respect of export of carburetors and parts. Such services relate to preparation of export related documents and therefore the service rendered has a nexus with the business of the manufacture of the assessees final product and is hence in the nature of business auxiliary service. The assessees are therefore entitled to avail CENVAT credit of the service tax paid under the above category of service. I, therefore, set aside the impugned order and allow the appeal. (Dictated and pronounced in open court) (JYOTI BALASUNDARAM) Vice-President Rex ??
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2Appeal No.E/755/2010