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2015 (7) TMI 1145 - AT - Central ExciseDisallowance of cenvat credit - condition to be fulfilled for taking cenvat credit - Held that:- The only condition to be fulfilled for taking cenvat credit is that the central excise duty has been suffered on the input and that the input has been received in the factory for use in the intended purpose. No prohibitions have been contained in the said rules, providing for denial of cenvat credit, in the eventuality, where the jurisdictional Central Excise Authorities at the supplier's end have disputed the classification of the excisable goods. In the present case, since the central excise authorities at the supplier's end have accepted the payment of duty on the finished product (input for the appellant), there is no justification on the part of the Central Excise Authorities having jurisdiction over the factory of the appellant to deny the cenvat benefit. Further, the Central Excise Authorities having jurisdiction over the factory of the appellant have no locus standi to discuss about the classification of the goods, on which cenvat credit has been taken. It is the responsibility of the jurisdictional authorities at the supplier's end to decide the issue of classification. Since the central excise duty has been paid by the supplier manufacturer and that has been accepted by the jurisdictional central excise authorities, the classification or otherwise of the goods at the recipient's end cannot be questioned, in view of the fact that there is no specific prohibition/ stipulations provided under the Cenvat Credit Rules for the said purpose. Thus denial of cenvat benefit to the appellant is not legal and proper - Decided in favour of assessee.
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