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2018 (12) TMI 356 - AT - Central ExciseUtilization of Cenvat credit of basic excise duty for payment of National Calamity Contingent Duty (NCCD) - Held that:- Rule 3 (1)(v), the Cenvat credit includes the NCCD leviable under Section 136 of Finance Act, 2001. As per this provision, credit of NCCD is a Cenvat credit. As regard utilization in terms of Rule 3(4)(a), the Cenvat credit is allowed to be utilized for payment of any duty of excise on any final product. Rule 3(7)(b) provides some restrictions, according to which the cevnat credit in respect of NCCD can be utilized only for payment of NCCD that means, Cenvat credit of NCCD is not allowed to be utilized for payment of basic excise duty. However, similar restriction is not provided for utilization of basic excise duty for payment of NCCD. The Hon'ble High Court in the case of CCE, Dibrugarh vs. Prag Bosimi Synthetics Limited [2013 (11) TMI 487 - GAUHATI HIGH COURT], after interpreting Rule 3(4) and Rule 3(7) came to the conclusion that the Cenvat credit can be utilized towards payment of NCCD in Cenvat credit. In view of the clear statutory provisions, there is no bar in utilization of basic excise duty for payment of NCCD. Appeal dismissed - decided against Revenue
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