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2016 (11) TMI 1204 - CESTAT MUMBAICenvat credit - duty paid job work - whether the denial of Cenvat credit on the ground that job worker should have carried out job work under Rule 4(5)(a) of Cenvat Credit Rules, 2004, hence was not supposed to pay the duty, is justified? - Held that: - firstly the manufacture of Co2 Gas and filling it into cylinder is an activity of manufacture and duty is required to be paid. Secondly, even if it is accepted that activity of job worker is not amount to manufacture but job worker after receipt of duty paid material can avail Cenvat credit and pay the duty in terms of Rule 16 of Central Excise Rules, 2002. Even though the job worker’s activity is not a manufacture, they are entitle to avail the Cenvat credit and clear the goods on payment of duty equal to the amount of Cenvat credit availed and duty so paid by the job worker is available as Cenvat credit to the recipient - CENVAT credit allowed to the appellant on the duty paid legally - appeal allowed.
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