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2012 (2) TMI 420 - AT - Central ExciseCENVAT Credit - Remission of excise duty through PLA - Wrong availment of CENVAT Credit - Held that:- prima facie Rule 8(3) or Rule 8(3A) of Central Excise Rules, 2002 do not have the effect of denying the eligibility for Cenvat credit because Rule 8(3A) prescribes that if there is a default, the consequence under the Central Excise Rules will follow and there is nothing mentioned about denying the benefit governed through Cenvat Credit Rules, 2004. In the normal circumstances, payment made through Cenvat credit account is a good discharge of duty liability. The exception carved out in Rule 8(3A) is that payment through Cenvat credit is not a good payment when assessee is a defaulter. This exception will last only till the default lasts. Once default is made good, the payment made through credit account becomes good payment even if paid before paying the defaulted amount - Conditional stay granted.
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