Home Case Index All Cases Central Excise Central Excise + AT Central Excise - 2018 (12) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2018 (12) TMI 362 - AT - Central ExciseCENVAT Credit - inputs returned by the job worker, but, these goods have not been returned by the buyer to whom the appellant sold these goods - Held that:- Held that:- It is not disputed the fact that the goods in question has not been received by the appellant, therefore, on the receipt of the said goods which were sold by the appellant under invoices issued by the buyer, the appellant is entitled to avail cenvat credit on such returned goods - credit allowed. CENVAT Credit sought to be denied on the allegation of diversion of the goods which the appellant has admitted and reversed alongwith interest - appellant has also paid 25% of the cenvat credit as penalty under Section 11 AC of the Central Excise Act, 1944 - Held that:- Admittedly, the said payments have made by the appellant before passing the adjudication order, therefore, in terms of provisions of Section 11 AC of the Act, the appellant is entitled for the benefit of 25% cenvat credit as penalty and which has been done by the appellant. Therefore, the appellant is entitled for the benefit of 75% cenvat credit as penalty. Accordingly, the penalty is reduced to 25% of cenvat credit in question. CENVAT Credit - denial on the premise that the same cannot be input to manufacture their final product - Held that:- The revenue has not able to produce any evidence on record that these goods are not received by the appellant or have been diverted by the appellant. On the contrary, the appellant is able to show that as per the expert’s opinion, the said goods can be used as inputs i.e. fuel for manufacture their final product - credit allowed. The appellant is entitled for cenvat credit of ₹ 2,52,133 and ₹ 28,853/- and reduced penalty of 25% of cenvat credit of ₹ 16,552/- - appeal disposed off.
|