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2013 (11) TMI 1214 - AT - Central ExciseInterest and penalty on Cenvat credit Erroneously taken till reversal – Held that:- Following Commissioner of Central Excise & Customs V/s Sweet Industries [2010 (12) TMI 420 - GUJARAT HIGH COURT ] - Once CENVAT Credit taken is not utilized and subsequently reversed, there is no liability to pay interest - the appellant took credit wrongly taken and was not utilized and subsequently reversed, there is no interest liability. Penalty under Rule 15 (2) of Cenvat credit Rules 2004 r.w. Section 11AC of the Central Excise Act, 1944 - Held that:- The appellant has taken CENVAT Credit under the bonafide belief - Once adjudicating authority is convinced that credit was taken by the appellant on bonafide belief and reversed the entire credit when pointed out, then there cannot be a case of imposition of penalty under Rule 15(2) OF CENVAT Credit Rules, 2004 read with Section 11AC of the Central Excise Act, 1944 – relying upon Mahindra & Mahindra Ltd Vs CCE Mumbai-V [2012 (12) TMI 853 - CESTAT, MUMBAI ] – Decided in favour of Assessee.
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