Home Case Index All Cases Central Excise Central Excise + AT Central Excise - 2017 (8) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2017 (8) TMI 1453 - AT - Central ExciseNon-reversal of Central Excise Duty on obsolete goods - Whether the appellant has to be visited with equivalent amount of penalty under the provisions of Rule 15(2) read CENVAT Credit Rules, 2004 read with Section 11 AC of the Central Excise Act, 1944 or otherwise? Held that:- There is no dispute as to the fact that the goods are considered as obsolete by the appellant and provided for write off in the books of accounts, does not mean that the goods were removed from the place of manufacture. It is only of accounting entry which would indicate the true and correct picture of the financial status of the company to their shareholders - Non-reversal of central excise duty involved in the obsolute goods would in no way be considered as an act done with intend to evade payment of duty and that also by alleging suppression, so as to attract penalty - equivalent amount of penalty imposed under Rule 15(2) of the CCR, 2004 is unsustainable and liable to be set aside - appeal allowed - decided in favor of appellant.
|