Home Case Index All Cases Central Excise Central Excise + AT Central Excise - 2014 (4) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2014 (4) TMI 418 - AT - Central ExciseCENVAT Credit - Receipt of free materials - Held that:- There is nothing in this Rule which says that the inputs have to be received by the way of purchase. Rule 57AE(3), which has been invoked by the Revenue mentions that the manufacturer of final product has to maintain proper records for receipt, disposal, consumption and inventory of the inputs and capital goods in which the relevant information regarding the value, duty paid, the person from whom the inputs or capital goods has been purchased has been recorded and the burden of proof regarding the admissibility of Cenvat credit shall lie on the manufacturer taking such credit. This provision is with regard to the maintenance of the records of receipt, disposal and consumption of the inputs and capital goods purchased, in respect of which Cenvat credit has been taken from the use of the word – ‘purchase’, in this Rule, it cannot be concluded that the inputs or capital goods have to be acquired by a manufacture only by purchase, for taking the Cenvat credit. There is no such condition in Rule 57AB of Central Excise Rules, 1944 and corresponding provisions of Cenvat Credit Rules 2001/2002. Therefore I do not find any infirmity in the impugned order - Rule 57AE(3) is a procedural rule using the expression ‘purchased’, whereas in the substantive provision, there is no such stipulation regarding purchase for the grant of input duty credit - Following decision of Exide Industries Vs. CCE, Haldia [2008 (1) TMI 190 - CESTAT, KOLKATA] - Decided against Revenue.
|