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2015 (12) TMI 1152 - AT - Central ExciseNon reversal of outstanding CENVAT Credit while availing SSI Exemption - Rule 11 of CCR - Held that:- Appellants filed a declaration for availing exemption under notification No. 8/03 on 1.4.2006. Although an obligation is being cast on the appellant to discharge their obligation as per Rule 11(2) of Cenvat Credit Rules, 2004 but when the appellant filed the declaration for opting the exemption. Now the duty cast on the department to verify whether they have discharged their obligation for availing the exemption or not which was not done by the Revenue within time. Thereafter in 2010, an audit took place and it was came to the knowledge of the department that the appellant has not discharged their obligation under Rule 11(2) of Cenvat Credit Rules 2004. Thereafter a show cause notice was issued on 5.5.11 which is also beyond the normal period of limitation. Admittedly in this case, show cause notice has been issued after 5 years of filing the declaration by the appellant. Therefore relying on the decision of Muhammed Ismail Mills (2014 (1) TMI 1647 - MADRAS HIGH COURT), I hold that show cause notice is barred by limitation. In these terms, impugned order is set aside - Decided in favour of assessee.
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