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2016 (2) TMI 483 - AT - Central ExciseModvat Credit denied - denial on the ground that the appellant have not filed 57T(1) declaration and 57T(2) intimation in the proper format - Held that:- The allegation made in show cause notice is very vague as no description of capital goods was provided in the show cause notice, at the same time it is undisputed that the appellant had filed declaration in respect of various capital goods and spares. Unless the show cause notice specify particular capital goods, it cannot be ascertained in respect of which capital goods, the declaration was not filed. In absence of such description in the show cause notice, the show cause notice appears to have been issued on presumption/assumption only. In this fact, the demand of Modvat Credit cannot be sustained. Moreover the filing of declaration is a procedural requirement and for this lapse, substantial benefit of Modvat cannot be denied. In this regard Board Circular dated 09-02-1999 and 23-02-1999 clarified that due to said procedure lapse, Modvat credit cannot be denied which was further reinforced by Larger Bench in the case of Kamakhya Steels (P) Ltd. (2000 (8) TMI 113 - CEGAT, NEW DELHI ). In the case of A.B. Card Clothing (Pvt.) Ltd. (2006 (11) TMI 108 - HIGH COURT PUNJAB AND HARYANA ) held that for non-filing of declaration under Rule 57T, Modvat Credit cannot be denied. As regard receipt of Capital Goods and use thereof, there in no allegation in the show cause notice. - Decided in favour of assessee
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