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2019 (2) TMI 562 - AT - Central ExciseCENVAT credit - CENVAT credit involved input and input services related to that quantity of electricity sold to outside agencies - common inputs to the manufacture of dutiable goods as well as exempted goods - non-maintenance of separate records - Sub Rule 3(1) of Rule 6 of CENVAT Credit Rules - Held that:- Allahabad High Court in the case of Gularia Chini Mills [2013 (7) TMI 159 - ALLAHABAD HIGH COURT] has held that in the generation of electricity from bagasse, no other input or input service is used and therefore, the electrical energy is neither excisable under Section 2(d) of Central Excise Act, 1944 nor exempted goods and hence, Rule 6 is not applicable. The demand of 6% of the value of electricity sold to various companies is not sustainable in law - appeal allowed - decided in favor of appellant.
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