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2016 (12) TMI 721 - AT - Central ExciseUtilisation of CENVAT credit - Held that: - I find that Central Excise duty liability attributable to the defaulted period was paid by the appellant alongwith interest, which has been appropriated in the adjudication order dated 28.02.2012. It is a fact on record that the appellant had paid the excise duty on the goods removed from the factory during the defaulted period by utilizing the cenvat credit. The issue regarding utilization of cenvat credit was the subject matter of dispute before the Hon’ble Gujarat High Court in the case of Indsur Global Ltd. [2014 (12) TMI 585 - GUJARAT HIGH COURT], wherein the Hon’ble Court have declared the phrase “without utilizing the cenvat credit” contained in Sub-Rule (3A) of Rule 8 of the Central Excise Rules, 2002, as invalid. The effect of said judgment is that during the defaulted period, the assessee can pay the excise duty either from the cenvat account or by making debit in its Personal Ledger Account (PLA). In the case in hand, since the appellant has paid the Central Excise duty on clearance of goods by debiting its cenvat account, the same is in conformity with the provisions of Central Excise Rules as per the law declared by the Hon’ble High Court. Therefore, I do not find any merits in the impugned order - appeal allowed - decided in favor of appellant-assessee.
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