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2019 (11) TMI 1617 - AT - Central ExciseCENVAT Credit - captive consumption - electricity captively consumed and sold outside - requirement of reversal of 5%/6% of the value of electricity sold by the Appellant outside the factory - Rule 6(3)(i) of the Cenvat Credit Rules, 2004 - HELD THAT:- Ld. Commissioner has failed to take cognizance of the fact that the Appellant has submitted Chartered Accountant certificates, stating about the factum of Cenvat availed on inputs and input services attributable to electricity consumed inside the factory. In Appellant’s own case i.e. M/S. HEG LIMITED VERSUS C.C.E., RAIPUR. [2017 (11) TMI 1949 - CESTAT NEW DELHI], the Hon’ble Tribunal after considering the Chartered Accountant Certificate with respect to proportionate availment of Cenvat credit on input & input services used in generation of electricity captively consumed had remanded the matter for verification considering it to be sufficient compliance of Rule 6 (3) of the Credit Rules. Further it is observed that though an Explanation was added to Rule 6(1), vide Notification No. 6/2015-CE(NT) dated 01.03.2015, providing that “for the purposes of this rule, exempted goods or final products as defined in clauses (d) & (h) of rule 2 shall include non-excisable goods cleared for a consideration from the factory”. But this reinforces the contention of the Appellant that prior to 01.03.2015, non-excisable goods cannot be considered as exempted goods. Also for the period w.e.f. 01.03.2015 even the insertion of this Explanation cannot result in confirmation of demand @5%/6% under Rule 6(3)(i), inasmuch as the condition of proportionate availment of Cenvat credit on inputs and input services attributable to electricity consumed captively in manufacture of dutiable final products, stands satisfied by the Appellant in the present case - the provisions of Rule 6(3) of CCR have no application to the facts of the present case. Appeal allowed - decided in favor of appellant.
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