Custom, Excise & Service Tax Tribunal Bharat Coking Coal Ltd vs Ranchi Commissionerate on 5 June, 2023 IN THE CUSTOMS, EXCISE & SERVICE TAX APPELLATE TRIBUNAL, KOLKATA REGIONAL BENCH COURT NO.2 Excise Appeal No. 75688 of 2019 (Arising out of OrderinAppeal No.569/RAN/2018 dated 18.12.2018 passed by Commissioner (Appeals) of CGST & Central Excise, Ranchi) M/s. Bharat Coking Coal Ltd. (Office of General Manager, Area Finance Manager, Govindpur, Katras Mahuda Road, P. O. Sonardih, Dhanbad828125) Appellant VERSUS Commissioner of CGST & CX, Ranchi Commissionerate (Grand Emerald Building, Ashok Nagar, KadruArgora Main Road, Ranchi834002) Respondent Mr. Rajeev Agarwal, Advocate for the Appellant Mr. S. Mukhopadhyay, Authorized Representative for the Respondent HON'BLE MR. ANIL CHOUDHURY, MEMBER (JUDICIAL) FINAL ORDER NO.75551/2023 Date of Hearing : 05 June 2023 Date of Decision : 05 June 2023 PER ANIL CHOUDHURY The issue involved in this appeal is whether Cenvat Credit have been rightly disallowed which have been received for construction of Coal Handling plant (CHP) during the period December 2015 to October 2016 for Rs.11,25,283/. 2. The appellant is a PSU and a 100% subsidiary of Coal India Limited, engaged in the production of coal on which central excise duty has been paid during the period in dispute. 3. The appellant has availed CENVAT Credit of central Excise on inputs and service tax paid on input services, received in connection with the construction and setting up of Coal Handling Plant (CHP) incl. Silo facilities, as its coal mines. The authorities have denied the aforesaid credit on the ground that the input services received by the appellant does not constitute eligible 'input service' in terms of the 2 Excise Appeal No. 75688 of 2019 definition under Rule 2 (l) of the Credit Rules, under the exclusion clause. 4. The appellant submits that the issue is no longer resintegra and has been decided in their favour by the Division Bench of this Tribunal vide Final Order no. 75645/2021 dated 07.10.2021 in Excise Appeal No. 77734 of 2018, wherein the credit was sought to be denied for the earlier period from June 2013 to November 2015. 5. The appellant submits that although the Department has preferred an appeal (Tax Appeal no. 4 of 2022) before the Hon'ble Jharkhand High Court against the aforesaid order dated 07.10.2021 passed by the Tribunal, there is no order for stay of operation of the said order till date. Further the matter has not yet been taken for admission/hearing in the said Departmental Appeal. 6. The appellant thus states that the issue relating to eligibility of credit on CHP stands in favour of the appellant by the order passed by the Hon'ble Division Bench of this Tribunal in appellant's own case and there is no order for stay as on date. 7. The Learned AR for Revenue relies on the impugned order. He further states that Revenue has preferred appeal before the Hon'ble High Court against the Division Bench Final Order being relied upon by the appellant. 8. Having considered the rival contentions, I find that the present Show Cause Notice is by way of continuation as statement of demand have been issued with reference to earlier Show Cause Notice No.V(30)78/CEX/BCCL Govindpur/Adj/DNB(H)/2016/8705 dated 27.09.2016 for the period June 2013 to November 2015. 9. On going through this Tribunal Final Order No. FO/75645/2021 dated 7th October 2021, I find that the very same issue had come up before a Division Bench of this Tribunal and the Division Bench have recorded the following findings: 6. The issue before us is whether credit is available on Coal Handing Plant (CHP), which has been set up by the appellant for evacuation of coal from its mining premises. It is relevant to note the preamble to the contract which reads as below: 3 Excise Appeal No. 75688 of 2019 "It is proposed to install a Rapid Loading system through Silo for fast evacuation of coal. The coal handling plant shall have facilities for receiving coal from tippers of 25T capacity, crushing of coal to () 100 mm size, conveying, storing, reclamation and loading into railway wagons. The coal handing plant has also been provided with suitable firefighting automatic sampling arrangement and communication facilities. This tender document is for construction of Coal Handl