Home Case Index All Cases Central Excise Central Excise + AT Central Excise - 2015 (12) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2015 (12) TMI 1307 - AT - Central ExciseDenial of CENVAT Credit - appellant availed the Cenvat Credit on Grey Fabrics against the endorsed invoices - Invocation of extended period of limitation - Held that:- Rule 9 of the Cenvat Rules prescribed the documents for availment of the Cenvat Credit - On perusal of the Rule 9 of the Cenvat Credit Rules, it is clear that the Cenvat Credit cannot be allowed on the endorsed invoice. So, the appellant is not entitled to avail cenvat Credit on the basis of the endorsed invoices for the period of December 2004 to July 2006. Further, the appellant is a job worker. They received the Gray fabrics from the merchant/dealer for processing. With effect from 1.3.2003, the Central Excise Simplified Textile Scheme was implemented on the textile and garment sector. According to the said scheme, the merchant/supplier of the grey fabrics has deemed to be as manufacturer and permitted him (Merchant) to pay duty on processed fabrics manufactured as purchaser on job charges. There was an option that the merchant/supplier may discharge duty through the processor (job worker) and permitted the processor to avail credit on invoices in the name of the merchant endorsed by such merchants. The said scheme was withdrawn with effect from 10.9.2004. To sum up, the job worker is not entitled to avail cenvat credit after 10.9.2004 on endorsed invoices. - Central Excise audit officers during the verification of the records detected the irregular availment of the Cenvat Credit. Hence the extended period of limitation involved. - Decided against assessee.
|