TMI Blog2023 (9) TMI 867X X X X Extracts X X X X X X X X Extracts X X X X ..... e of the revenue was that the appellant is clearing input as such, therefore the issue arose whether in that circumstances, the appellant was required to reverse proportionate cenvat credit on input services or not, whereas in the case in hand, the case of the revenue is that the appellant is providing exempted service namely trading activity, in that circumstances, whether the appellant is required to reverse proportionate cenvat credit with regard to input and input services used in providing final exempted service or not? Therefore, the case law relied upon by the appellant are distinguishable from the facts and circumstances of the case, as the appellant has already revered proportionate cenvat credit for providing the exempted service ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ant was availing cenvat credit on inputs as well as input services such as Survey Fees, Professional charges, Sampling Analysis Charges, Commission Charges, Security Charges etc.. During the period from April 2011 to February 2015, the appellant had removed some quantities of their inputs to their sister units as well as sold in the open market a small percentage of unwanted inputs including undersized coal or coal containing large percentage of fines. Therefore, they removed input as such from their factory on reversal of cenvat credit in terms of Rule 3(5) of the Cenvat Credit Rules, 2004. The allegation against the appellant is that in the guise of removal of inputs as such, the appellant was engaged in rendering of services namely, T ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ngaged in activity of trading of coal and the said activity during the impugned period was declared as exempted service and the appellant is not maintaining separate account for providing dutiable as well as exempted services, in that circumstances, the appellant is liable to pay 6%/10% of the value of the exempted service provided by them. 4. Heard the parties, considered the submissions. 5. In this case, it is an admitted fact that the appellants were engaged in the activity of trading of coal as evident from the books of accounts. The trading activity has been declared exempted service in terms of Cenvat Credit Rules, 2004. 6. In that circumstances, although the appellant has reversed cenvat credit as input cleared as such, but ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
