𝗖𝗲𝘀𝘁𝗮𝘁 𝗞𝗼𝗹𝗸𝗮𝘁𝗮 𝗥𝘂𝗹𝗶𝗻𝗴 𝗼𝗻 𝗖𝗲𝗻𝘃𝗮𝘁 𝗖𝗿𝗲𝗱𝗶𝘁 𝗼𝗻 𝗦𝗮𝗹𝗲𝘀 𝗖𝗼𝗺𝗺𝗶𝘀𝘀𝗶𝗼𝗻 📢 𝗧𝗵𝗲 𝗧𝗿𝗶𝗯𝘂𝗻𝗮𝗹 𝗵𝗲𝗹𝗱: "Cenvat credit is eligible on sales commission as sales promotion is directly linked to manufacturing activity. CBIC Circular supporting this is binding on departmental officers. Appeal allowed."

🔍 𝗙𝗮𝗰𝘁𝘀: 𝗔𝗽𝗽𝗲𝗹𝗹𝗮𝗻𝘁: Moulded Fibreglass Products 𝗜𝘀𝘀𝘂𝗲: Cenvat credit on sales commission was upheld for a manufacturer, as sales promotion directly supports manufacturing. The department's objection citing narrowed input service definition post-2011 was dismissed.

⚖️ 𝗝𝘂𝗱𝗴𝗲𝗺𝗲𝗻𝘁: The Tribunal ruled that sales commission qualifies as "sales promotion" with a direct link to manufacturing. Notification No. 2/2016-CE confirmed sales promotion includes sales commission, and the CBIC Circular dated 29 April 2011, supporting Cenvat credit on sales commission, is binding on departmental authorities.

📜 𝗖𝗮𝘀𝗲 𝗜𝗻𝗳𝗼𝗿𝗺𝗮𝘁𝗶𝗼𝗻: 𝗧𝗶𝘁𝗹𝗲: Moulded Fibreglass Products vs. Commissioner of CGST & CX, Kolkata South Commissionerate 𝗢𝗿𝗱𝗲𝗿 𝗗𝗮𝘁𝗲: 3 February 2023 📜 This ruling confirms the admissibility of input service credit on sales commission, reinforcing the linkage between sales promotion and manufacturing.