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2019 (9) TMI 1106 - AT - Central ExciseRefund of CENVAT Credit - Rule 5 of CCR, 2004 - Duty drawback claimed for export goods - Department’s case is that no refund of credit should be allowed to the manufacturer if any drawback whatsoever is claimed in respect of the goods which are exported and therefore the first appellate authority has erred in sanctioning refund under Rule 5 - HELD THAT:- A plain reading of the proviso to Rule 5 shows that refund of credit shall not be allowed only if drawback has been availed in respect of such duty. Such duty in this case refers only to the excise duty because there is no mechanism of granting Cenvat credit of the basic customs duty. In this case, since the drawback scheme itself has provided for a single rate of drawback, which, according to the clarification in the Notification 110/2015-CUS dated 16.11.2015, means only customs duty drawback, it is impossible that the respondents could have availed drawback of central excise duty. Therefore, there is no prohibition in refund of Cenvat credit on inputs or input services in respect of the goods which are exported. Refund allowed - Appeal dismissed - decided against Revenue.
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