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2016 (3) TMI 225 - AT - Central ExciseCenvat credit - input services utilised for manufacture of goods at ‘nil' rate of duty supplied to the SEZ as well as exported - entitlement to refund of the Cenvat credit under Rule 5 of Cenvat Credit Rules, 2004 - Held that:- There is an exception provided in sub rule (6) of Rule 6 of Cenvat Credit Rules, 2004 to the application of sub-rule (1) to (4) thereof. Clearances made to SEZ are not governed by the denial provision. Appellant's submission is, therefore, certainly correct to say that any attempt to deny the refund of input credit shall make the services or goods exported costlier and will amount to export or ‘deemed export' of taxes which is not permitted in international trade practice as well as supply to SEZ domestically. Therefore, denial of refund to the appellant by the application of Rule 5 of Cenvat Credit Rules, 2004 is not reasonable, for which, the order of the authority below is set aside and appeal is allowed. The authority below granting refund shall act in accordance with law looking to the law on limitation, if any, applicable. - Decided in favour of assessee
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