Home Case Index All Cases Central Excise Central Excise + AT Central Excise - 2018 (7) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2018 (7) TMI 313 - AT - Central ExciseCENVAT Credit - Rule 6 of Cenvat Credit Rules, 2004 - whether press mud, bio-compost, bio-fertiliser and wormi compost are to be considered as exempted products? - Held that:- The Tribunal has held in the case of Commissioner of Central Excise & Service Tax, Patna vs. Riga Sugar Company Ltd. [2016 (5) TMI 1444 - CESTAT KOLKATA] that waste product will not fall under the purview of exempted product and accordingly the provisions of Rule 6(3) are not applicable - the appellant was not liable to pay the amount as contemplated under Rule 6 (3) of the Cenvat Credit Rules, 2004. Demand for the month of March, 2015 - Held that:- The effect of amendment of Rule 6 ibid is that the benefit of claim of non-application of Rule 6, shall not be available to the waste/by-product, if the same are cleared from the factory on receipt of consideration - In this case, since the appellant had removed Bio-compost, Bio-Fertiliser, Wormi Compost and Press Mud upon receipt of consideration from the buyers, it is squarely covered under the Explanation appended to Rule 6 w.e.f. 01.03.2015, the appellant is liable to pay amount as contemplated under Rule 6 (3) ibid - the matter is remanded to the Adjudicating Authority to segregate the demand for the month of March, 2015 - For rest of the period the appeal is allowed. Appeal allowed by way of remand.
|