TMI Blog2011 (8) TMI 821X X X X Extracts X X X X X X X X Extracts X X X X ..... vered by compuneded levy scheme, is deemed to have discharged its duty liability. - in case the annual capacity of production of input manufacturer because of dispute cannot be determined at the time of issue of invoice, the scheme of conveyance of deemed credit cannot be put on hold and the substantive benefit of deemed credit cannot be denied to the input purchaser. - Appeal of revenue was dis ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... P of the erstwhile Central Excise Rules, 1944. 2. The assessee availed deemed Modvat Credit on the strength of invoices issued by the manufacturer which was covered by Compounded Levy Scheme under Section 3A of the Act. The revenue sought to deny the Modvat Credit to the assessee on the ground that the manufacturer of inputs M/s Devta Steel Rolling Mills, Mandi Gobindgarh failed to discharge ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of assessment. 4. The reference in the case of the manufacturer has been separately decided but the issue raised therein is not the issue involved in this appeal. The appellate authority in the present case, held that under Rule 57A(6) of the Central Excise Rules, 1944, the manufacturer covered by compuneded levy scheme, is deemed to have discharged its duty liability. It was held:- The i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... -99 and 2969 dated 28-10-99 both issued by M/s Devta Steel Rolling Mills Mandi Gobindgarh bear declaration as Duty liability to be discharged under Rule 96ZP(3) . The appellants have pleaded that under the deemed credit concept the duty is deemed to have been paid by the manufacturer and that they have taken deemed credit on the strength of statutory invoices issued by consignor-manufacturer. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... at in case the annual capacity of production of input manufacturer because of dispute cannot be determined at the time of issue of invoice, the scheme of conveyance of deemed credit cannot be put on hold and the substantive benefit of deemed credit cannot be denied to the input purchaser. Identical view has been taken in judgment of this Court in Vikas Pipe v. CCE, Chandigarh-II [2003] 158 ELT ..... X X X X Extracts X X X X X X X X Extracts X X X X
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