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2013 (5) TMI 546 - AT - Central ExciseCenvat Credit denied - galvanization does not amount to the manufacture - Held that:- Taking note that under Cenvat Credit Rules, the inputs can be cleared as such or after being partially processed on reversal of amount equivalent to credit availed on such inputs. That means if credit has been taken by the appellants on the inputs i.e. C.R. Coils then the Coil can be cleared as such or after some processing after reversal of the Cenvat Credit availed on the C.R. Coils. In the present case appellants have taken the Cenvat Credit and cleared the finished goods after paying duty through the Cenvat account entries and payment of duty may be more than the credit attributable to such inputs. As decided in Commissioner of Central Excise Vs. Delta Corporation as reported 2013 (2013 (2) TMI 31 - GUJARAT HIGH COURT) credit could not be denied on the ground that no manufacturing activity was carried on by the assessee - in the present case the demand has been raised for disallowing the Cenvat Credit on C.R. Coils and Zinc. Demand is unsustainable as Rules allow the clearance of inputs as such or after partially proceeding on reversal of the Cenvat Credit availed on these inputs. The duty paid on the G.P. Coils etc., is more than Cenvat Credit taken and needs to be adjusted against the demand of the Cenvat Credit. Therefore the demand of Cenvat Credit is not sustainable against the appellants.
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