TMI Blog2014 (9) TMI 801X X X X Extracts X X X X X X X X Extracts X X X X ..... Cenvat Credit Rules, 2004, the onus is on the appellant to take appropriate care and satisfy himself properly regarding admissibility of credit before taking the credit. Cenvat credit has been correctly denied by the lower authorities to the appellant, as its receipt and use in the factory of the appellant is not established. - Decided against the assessee. Levy of penalty - Rule 15(2) of Cenvat Credit Rules, 2004, read with Section 11AC of Central Excise Act, 1944 - Held that:- Though, there is allegation in the show cause notice about intention to evade Central Excise duty but it has not been specifically explained in the show cause notice and the adjudication order as to how intention to evade Central Excise is established when the a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 8,62,554/- claimed, an amount of ₹ 6,52,095/- is pertaining to capital goods and credit was taken as inputs in the present Unit-I when capital goods pertaining to their Unit-II and Unit-IV. That since the entire inputs or capital goods were used in relation to manufacture of their finished goods in their present Unit-I, therefore, credit was admissible to them. 2.1 So far as imposition of penalty is concerned, he relied upon the following case-laws : (i) CCE, Belgaum v. Vasavadatta Cement [2008 (229) E.L.T. 433 (Tri.-Bang.)] (ii) Inox Air Products Ltd. v. CCE, Hyderabad [2013 (30) S.T.R. 47 (Tri.-Bang.)] (iii) CCE, Pune-I v. Thermax Ltd. [2010 (254) E.L.T. 111 (Tri.-Mum.)] (iv) Uniworth Textiles Ltd. v. CCE ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ty paying documents i.e. the document based on which the credit taken is not available. (iii) Availment of Cenvat credit on capital goods as inputs. (iv) Availment of Cenvat credit on the invoices which are in the name of other unit of M/s. IDMC Ltd. (v) Availment of excess Cenvat credit including Education Cess thereon over and above admissible to them. 4.1 To counter the above allegations, appellant was required to establish with documentary evidences and records maintained by them, that all the inputs/capital goods were received in their Unit-I under proper documents and were in fact used in their present unit. On the contrary, by making submissions in Para 5(a), (b) and (c) of the grounds of appeal, appellant is tryi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... hat there was no mis-statement and suppression on their part with intention to evade any duty. It has also been argued that since the entire inadmissible Cenvat credit has been paid as soon as the same was pointed out by the Department, therefore, no penalty is attracted in this case in view of the relied upon judgments mentioned in Para 2.1 above. It is seen that Cenvat credit taken by the appellant was reversed before issue of show cause notice which has also been appropriated by the original adjudicating authority. Though, there is allegation in the show cause notice about intention to evade Central Excise duty but it has not been specifically explained in the show cause notice and the adjudication order as to how intention to evade Cent ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
