Home Case Index All Cases Central Excise Central Excise + AT Central Excise - 2016 (11) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2016 (11) TMI 921 - AT - Central ExciseDemand of interest and penalty - credit availed on inputs transferred to other unit - reversal of the said credit on being pointed out after a year and a half - Held that: - the Cenvat Credit Rules are very unambiguous and clear. There is not an iota of doubt about the manner in which the credit is required to be taken in such cases and the amount of credit are required to be taken when the same goods are received. The appellant’s contention that it was an inadvertent error does not appear to logic as there is no ambiguity in law, so far as the availment of credit in these circumstances are concerned. This is also apparent from the fact that the moment it was pointed out the appellant was paid the same and not contested on merit. It is seen that the appellants are very well conversant with the process - Every time the inputs are cleared as such, the appellant is required to make invoice and the invoice contains the column where the duty reversed is to be mentioned. It is not something which can slip out of mind inadvertently. In this era of self assessment great trust has been placed on the assessee to do self assessment diligently and properly. In the instant case, it is apparent that the other unit to which the material was transferred could not have benefited by taking the credit of the said duty. In these circumstances, the intention to evade duty is apparent. Section 11A (2B) not applicable to the cases where the duty was short paid for reasons of fraud, collusion or any mis-statement or suppression of facts, as is apparent in this case - appeal dismissed.
|