Home Case Index All Cases Central Excise Central Excise + AT Central Excise - 2016 (10) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2016 (10) TMI 106 - AT - Central ExciseSection 35 B of Central Excise Act, 1944 - amount of duty involved is less then ₹ 50,000/- - Reversal of Cenvat credit - Cenvat credit taken on MS Plate, Channels, Angles etc. treating the same as capital goods - used for repair and maintenance of Plant and Machinery - Held that:- the provisions of Section 35 B of Central Excise Act, 1944 provide that the Tribunal in its discretion can refuse to admit an appeal where duty or differential duty or fine or penalty is less than ₹ 50,000/- (Fifty thousand). I do not use such discretion in this case. The contention of the ld. Commissioner (Appeals) is that the impugned goods are treated as capital goods by the appellant at the time of taking of credit and that the claim about use of inputs for maintenance is only a general claim. The Department also relied as ruling of this Tribunal that when the use of inputs cannot be substantiated in repair and maintenance of machines then the credit has to be denied. I find that the impugned goods do not satisfy the definition of Capital Goods in said Cenvat Credit Rules 2004 and merely by such mention in the books of account, they do not loose the substantive eligibility to be treated as inputs. Further, I find that the original authority has gone through the material requisition slips and found as to where the impugned goods are used for maintenance and repair of machinery. Therefore, I do not find the two observations of ld. Commissioner (Appeals) to be sustainable. - Decided in favour of appellant
|