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2016 (7) TMI 592 - AT - Central ExciseCenvat Credit on capital goods - claiming depreciation under the Income Tax Law - Appellant relied upon the Chartered Accountants Certificate to argue that calculation made in the show cause notice and confirmed has been wrongly arrived at - Held that:- As this issue of miscalculation/wrong calculation was not raised before the lower authorities, therefore, the case is required to be remanded to the adjudicating authority for verifying the claim of the Appellant. Appellant should also produce all the relied upon documents, including chartered accounts certificate produced before this bench. Needless to say that a personal hearing should be extended to the Appellant for explaining their case regarding correct calculation of Cenvat Credit required to be reversed. Imposition of penalty - Appellant enjoyed double benefits of taking Cenvat Credit and availing depreciation by suppressing the facts - Held that:- When the provisions of Cenvat Credit Rules were abundantly clear then Appellant cannot claim ignorance of law for not imposing penalty. Accordingly penalty has been correctly imposed upon the Appellant. However, looking to the fact that the quantification of correct demand is required to be worked out by the Adjudicating Authority under this order, the amount of penalty on such re worked amount will be required to be calculated and Appellant will be entitled to option to pay 25% of such reduced penalty on the redetermined amount, along with interest, and 25% reduced penalty under Section 11 AC, if these amounts are paid within one month from the date of receipt of final order passed by the Adjudicating Authority in the remand proceeding.
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