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2018 (8) TMI 396 - AT - Central ExcisePre-deposit - utilization of CENVAT Credit account for payment of pre-deposit - whether mandatory deposit of seven and half percent as per Section 35F(i) of the Central Excise Act, 1944, is required to be paid in case or the same can be paid from Cenvat Credit Account maintained by the appellant? Held that:- In Section 35F, it is not specifically mentioned that amount has to be deposited only by way of cash payment - As per procedure followed by CESTAT Registry at Kolkata, payments made from Cenvat Credit Account are considered as due payments for considering as deposit under Section 35F(ii) and (iii) of Central Excise Act, 1944. The view taken by the First Appellate Authority, that deposit under Section 35F(i) cannot be made from Cenvat Credit Account, is not the correct appreciation of law so long as the CENVAT Credit is permissible for utilization as per Rule 3(4) of the Cenvat Credit Rules, 2004 - appeal filed by the appellant is allowed by way of remand to the Ld. Commissioner (Appeals) to decide the appeal on merits without insisting on any further pre-deposit.
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