Home Case Index All Cases Central Excise Central Excise + AT Central Excise - 2016 (4) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2016 (4) TMI 20 - AT - Central ExciseQuantum of penalty - demand of an amount @8% under Rule 6 of the Cenvat Credit Rules with respect to liquid nitrogen used in the manufacture of dutiable and exempted finished products - Held that:- As per Rule 12 of the Cenvat Credit Rules, 2002, recovery machinery for taking improper credit existed in Cenvat Credit Rules, 2002. The Appellant was further well aware of paying 8% of the amount under Rule 6 of the Cenvat Credit Rules when common inputs are used in the manufacture of dutiable and exempted finished products and where no separate accounts are maintained. The Appellant also did not pay the disputed amount immediately on being pointed out by the department. The amounts paid by the Appellant were as a result of Stay order dated 29.01.2010 passed by the First Appellate Authority as mentioned in paragraph-4 of the Order-in-Appeal dated 20.06.2012. However, there is substance in the argument made by the Appellant that all the relevant details with respect to dutiable and exempted goods were mentioned in the periodical returns filed with the department. On perusal of the records and in the interest of justice this Bench is of the view that a penalty of ₹ 20,000/- under Rule 13(1) of the Cenvat Credit Rules, 2002 will meet the ends of justice. Accordingly penalty imposed upon the Appellant by the Adjudicating Authority under Order-in-Original is reduced to ₹ 20,000/-
|