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2016 (6) TMI 354 - HC - Central ExciseWhether the bar imposed under Rule 57G(5) of the Central Excise Rules, 1944 for availment of credit within a period of six months would be applicable in relation to deemed credit availed under Rule 57G(5) and Notification No.29/96 issued thereunder - Held that:- Rule 57G(5) of the rules provides for a period of limitation of six months from the date of issue of any document specified in sub-rule (3) thereof for the purpose of taking credit. Adverting to Notification No.29/96, it may be noted that the same specifically provides that credit of the declared duty deemed to have been paid shall be allowed to the manufacturer of final products, without production of documents evidencing payment of duty on the said inputs at the time of clearance of final products. Thus, under the scheme of the notification, deemed credit can be availed of without production of documents evidencing payment of duty on the inputs. Thus, for the purpose of applicability of sub-rule (5) of rule 57G, the limitation would commence from the date of issuance of the documents specified in sub-rule (3) thereof, whereas, insofar as the availment of deemed credit under Notification No.29/96 is concerned, provision is made for availing the same without any document evidencing payment of duty on the inputs. Under the circumstances, in the absence of any documents specified in sub-rule (3) of rule 57G of the rules being available for the purpose of availment of deemed credit, the limitation would not commence to run insofar as the deemed credit is concerned. Consequently, it would not be possible to apply sub-rule (5) of rule 57G of the rules to the facts of the present case. Sub-rule (5) of Rule 57G of the rules postulates that credit shall also not be taken by the manufacturer after six months of the date of issue of any document specified in sub-rule (3) thereof and where intermediate products manufactured by the user of inputs specified under rule 57 are received by the manufacturer, after nine months. But neither sub-rule (5) of rule 57A of the rules under which Notification No.29/96 has been issued provides for any limitation for availment of the benefit under the notification, nor does Notification No.29/96 provide for any such limitation. However, merely because rule 57A(5) or Notification 29/96 do not provide for a limitation for availing of the benefit of deemed credit, the limitation under rule 57G(5) of the rules cannot be read into the scheme of rule 57A(5). Therefore, the Tribunal, in the impugned order, has rightly held that rule 57G of the rules would not be applicable to the facts of the present case. - Decided against the Revenue
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