Maruti Suzuki India Ltd Vs Commissioner of Central Goods & Service Tax (CESTAT Chandigarh)
CESTAT Chandigarh held that CENVAT Credit of input services i.e. insurance and authorized service station cannot be denied as services are availed before 01.04.2011 and used for furtherance of business.
Facts- M/s Maruti Suzuki, the appellants, engaged in the manufacture of motor vehicles and its accessories, assails Order-in-Original dated 31.03.2014 passed by Commissioner of Central Excise & Service Tax, Gurugram vide which CENVAT credit of Rs.65,34,129/-, availed by the appellants on two input services i.e Insurance Service and Authorized Service Station Service, for the period July 2006 to March 2012, along with interest and equal penalty.
Conclusion- Held that the said input services are availed in respect of the vehicles that are in operational for the use by the company and its officials. It is not the case of the Revenue that these vehicles are used exclusively for personal purposes by the employees so as to fall under the exclusion after the amendment w.e.f. 01.04.2011. Therefore, there is nothing on record to show that these vehicles are not used for furtherance of business of the appellants. Therefore, the input services are covered by the inclusive definition of the Input Service and thus, credit cannot be denied.
