Transportation Costs Exclusion Not a Basis to Deny CENVAT Credit: CESTAT

APAR Industries Ltd. Vs C.C.E. & S.T. (CESTAT Ahmedabad) Introduction: In a landmark decision by the CESTAT Ahmedabad, APAR Industries Ltd. emerged victorious as the tribunal ruled that the non-inclusion of transportation costs in the assessable value does not serve as a ground for denying CENVAT Credit. This ruling addresses a long-standing ambiguity and brings clarity to manufacturers regarding the admissibility of CENVAT credit on outward transportation services. Detailed Analysis: APAR Industries Ltd., a manufacturer of transformer oil and aluminium conductor, found itself in a legal t...