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2013 (7) TMI 155 - GOVERNMENT OF INDIACenvat Credit - Separate Books of Accounts – textile manufacturers - While availing benefit of both the Notifications 29/2004-CE & 30/2004-CE – Held that:- Considering practical difficulties of textile manufacturers in maintaining separate account of inputs, the Board issued Circular No. 845/3/2007-CX., dated 1-2-2007 and advised the assessee not to take credit initially and instead take proportionate credit on inputs used in the manufacture of finished goods that are cleared on payment of concessional duty under Notification No. 29/2004-C.E., dated 9-7-2004. The Board vide circular dated 1-2-2007, waived the requirement of maintaining separate account in the case of manufacturers, who wish to avail benefit of both the Notification No. 29/2004-C.E., dated 9-7-2004 and Notification No. 30/2004-C.E., dated 9-7-2004 simultaneously. Not availing benefit of Notification No.30/2004-C.E., dated 9-7-2004 – Assessee opted for claiming higher duty drawback, the applicant stopped availing Cenvat credit on inputs. The Commissioner has perhaps assumed that by not availing facility of Cenvat credit on inputs, the applicant have automatically opted for exemption of duty under Notification No. 30/2004-C.E., dated 9-7-2004 in respect of export clearances. Held that:- Even if the applicant have stopped availing Cenvat credit on inputs and switched over to duty drawback claim facility in respect of export shipment in question, that does not automatically mean that the applicant has decided to work under Notification No. 30/2004-C.E., dated 9-7-2004 in respect of export clearances. Also, the conclusion drawn by the lower authorities is based on assumptions and presumptions. It is a settled law that any order passed by an authority on the basis of surmises and conjectures, is not maintainable under law. It is well settled proposition of law that claim of any exemption notification in respect of any specific clearance is a matter of choice with the assessee and any beneficial piece of legislation cannot be forced on the assesse as held in Commissioner of Income-Tax Versus Arun Textile 'C' And Another [2000 (3) TMI 3 - SUPREME Court]. Decided in favor of assessee.
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