Cenvat credit available on product liability insurance

Wheels India Ltd. Vs Commissioner of GST & Central Tax (CESTAT Chennai) CESTAT Chennai has allowed Cenvat credit on product liability insurance availed by the manufacturer for covering the risk of manufacturing defect arising in finished products. The Tribunal for this purpose observed that the insurance was directly connected with manufacturing activity and was also an input service used in relation to manufacture of finished products. FULL TEXT OF THE CESTAT JUDGEMENT The brief facts of the case are that appellants are engaged in manufacture of automobile wheels and their parts, accessor...