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2015 (1) TMI 756 - PUNJAB AND HARYANA HIGH COURTAdjustment of CENVAT Credit - process of packing of bought out items and manufactured items undertaken by the appellant to make CJK which was not amount to manufacture - Held that:- Tribunal while adjudicating the issue against the appellant came to the conclusion that there was no excise duty payable on CJK and as such, the assessee had claimed, wrong Cenvat Credit in respect thereof. The Tribunal further noticed that the present case related to recovery of wrongly utilised Cenvat Credit amounting to ₹ 20,50,911/- on the bought out items for payment of duty on CJK and it was not a case of demand of excise duty. No illegality or perversity could be shown by the learned counsel for the appellant in the approach of the Tribunal. Furthermore, under Rule 6 of the Rules, the assessee is not entitled to claim Cenvat Credit on such quantity of input used in the manufacture of exempted goods. However, under sub-rule (2) thereof, the assessee can bifurcate the claim between manufacture of dutiable goods and exempted goods, where the manufacturer is required to maintain separate accounts for receipt, consumption and inventory of inputs meant for use in the manufacture of dutiable final products and the quantity of inputs meant for use in the manufacture of exempted goods and take Cenvat Credit only on that quantity of inputs which is intended for use in the manufacture of dutiable goods. - no question of law arises for consideration - Decided against assessee.
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