Hindustan Unilever Ltd. Vs Commissioner of GST & Central Excise (CESTAT Chennai)
CESTAT Chennai held that CENVAT Credit in respect of service tax paid on input services i.e. Management or Business Consultant’s Service’ and ‘Business Support Service’ is duly eligible. Accordingly, disallowance of credit set aside.
Facts- M/s.Hindustan Unilever Ltd. (Soaps & Detergents), the Appellant herein, are engaged in the manufacture of Soaps and Detergents falling under the tariff items 3401 1190 and 3402 2010 respectively to the First Schedule of the Central Excise Tariff Act, 1985. They are availing Cenvat Credit of Central Excise duty paid on inputs and capital goods and Service Tax paid on input services and utilizing the same for payment of duty on their final products.
The only issue to be decided is whether, the service tax credit in respect of input services viz. ‘Management or Business Consultant’s Service’ and ‘Business Support Service’ availed by the Appellant was in order?”
Conclusion- Held that the impugned services constitute ‘eligible services’ and availment of credit by the Appellant is in order. Accordingly, we set aside the disallowance of credit made by the Adjudicating Authority. For the same reason, the penalties also cannot sustain. Impugned Orders-in-Original are set aside and Appeals are allowed with consequential benefits, if any, as per law.
