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2017 (2) TMI 144 - AT - Central ExciseCENVAT credit - non-existent supplier - forged invoices - Held that: - The scheme of Cenvat Credit is that buyer of inputs/capital goods receives the excisable items along with invoices evidencing payment of duty and immediately thereafter is allowed to take Cenvat Credit of the excise duty so paid. It is not expected that the buyer will carry out verification of the Accounts of the supplier to find out whether the Central Excise duty has actually been paid on the inputs / capital goods. Cenvat Credit has been availed on the basis of invoices issued by the supplier. No evidence found on record establishing that excise duty has not been paid by the supplier on the capital goods. There is nothing on record to show that the goods have not been received in the factory of the appellant - denial of credit not justified. Whether the allegation against the supplier that no goods were manufactured at their factory is correct? - Held that: - reliance placed in the decision of the case of CCE Vs. Juhi Alloys Ltd. [2014 (1) TMI 1475 - ALLAHABAD HIGH COURT], where The goods were demonstrated to have travelled to the premises of the assessee under the cover of Form 31 issued by the Trade Tax Department, and the ledger account as well as the statutory records establish the receipt of the goods. In such a situation, it would be impractical to require the assessee to go behind the records maintained by the first stage dealer. Appeal allowed - decided in favor of appellant.
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