IN THE CUSTOMS, EXCISE AND SERVICE TAX APPELLATE TRIBUNAL
WEST ZONAL BENCH, MUMBAI
Appeal No.ST/334 & 335/2009
Arising out Order-in-Appeal No.SR/215 & 216/NGP/2009 Dated: 24.9.2009
Passed by the Commissioner of Central Excise (Appeals), Nagpur
Date of Decision: 5.4.2011
COMMISSIONER OF CENTRAL EXCISE, NAGPUR
INDOWORTH (I) LTD
Appellant Rep by: Shri S M Vaidya, JDR
Respondent Rep by: Shri Mayur Shroff, Adv.
CORAM: Ashok Jindal, Member (J)
Cenvat credit on Outdoor Catering service – there is no allegation that the respondent assessee is recovering any amount from the employees in this regard – in view of Bombay HC decision in CCE vs. Ultratech Cement Ltd . ( 2010-IST-46-HC-MUM-ST) credit available – Revenue appeal rejected.
Per: Ashok Jindal:
Revenue is in appeal against the impugned orders wherein input service credit on outdoor catering service was allowed by the lower appellate authority.
2. As per the show-cause notices, it is alleged against the respondent that they are providing outdoor catering service which is welfare activity. Therefore, input service credit availed by the respondent is not available on outdoor catering services. Therefore, both the authorities following the decision of GTC Industries Ltd. 2010 (20) STR J14 1 dropped the demand and allowed input service credit availed by the respondent. Aggrieved from the said orders, revenue is in appeal.
3. Heard both sides.
4. After hearing both sides, I find that this issue has been already settled by Hon'ble High Court of Bombay in the case of CCE vs. Ultratech Cement Ltd. reported in 2010 (260) ELT 369 = (2010-IST-46-HC-MUM-ST wherein the Hon'ble High Court of Bombay has held that input service credit availed by the assessee on outdoor catering is available subject to that the assessee does not charge anything from the employees (in case the cost of food supplied to the worker forms part of the assessable value.) As there is no allegation against the respondent that they have recovered any amount from the employees, therefore, following the decision of Ultratech Cement (supra), I do not find any merits in the appeals of the revenue. Therefore, impugned orders are upheld. Revenue's appeals are rejected.
(Dictated in Court)
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