M/S.Birla Corporation Ltd vs Cce, Jaipur-Ii

(Arising out of OIO No.25/CE/JPR-II/06-COMM dt.31.11.06 passed by the CCE, Jaipur)

Date of Hearing/Decision: 29.04.2015

For Approval &signature:

Honble Mr.Ashok Jindal, Member (Judicial)

1. Whether Press Reporter may be allowed to see the Order for publication as per Rule 27 of the CESTAT (Procedure) Rules, 1982? No 2. Whether it would be released under Rule 27 of the CESTAT (Procedure) Rules, 1982 for publication in any authoritative report or not? No 3. Whether their Lordships wish to see the fair copy of the order? seen 4. Whether order is to be circulated to the Department Authorities? Yes

M/s.Birla Corporation Ltd. Appellant

Vs.

CCE, Jaipur-II Respondent

Present for the Appellant: Shri Mayank Garg, Advocate

Present for the Respondent: Shri R.K.Mishra, AR

Coram: Honble Mr.Ashok Jindal, Member (Judicial)

FINAL ORDER NO.51549/2015

PER: ASHOK JINDAL

The short issue involved in this matter is that whether the appellant is entitled to take cenvat credit on outward goods transport agency service during the period February, 2005 to December, 2005 or not.

2. Heard the parties and considered the submissions.

3. In this case, the appellant has taken cenvat credit on freight paid for outward transportation of the goods at the door step to various buyers. As it is admitted fact that the sale has taken place on FOR destination basis i.e. sale is effected at the door of the buyers. In that case, the appellant has complied with the condition of CBEC Circular No.97/8/2007-ST, dated 23.8.2007. Therefore, the appellant is entitled to take cenvat credit. In the case of CCE vs. ABB Ltd.-2011 (23) STR 97 (Kar.), Honble Karnataka High Court has held that prior to 1.4.2008, the assessee is entitled to take cenvat credit on outward transportation of the goods.

4. In view of this, I hold that the appellant is entitled to take credit on outward goods transportation agency service during the impugned period when goods have been sold by them on FOR destination basis. In these terms, I set aside the impugned order and allow the appeal with consequential relief

(Dictated & Pronounced in the open court)

(ASHOK JINDAL)

MEMBER (JUDICIAL)

mk

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