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2020 (4) TMI 196 - AT - Central ExciseReversal of CENVAT Credit - actual consumption of inputs used for manufacture of dutiable goods or used for manufacture of exempted goods which are exported - non-maintenance of separate records - requirement to reverse 6% of the value of exempted goods - HELD THAT:- In this present case, the appellant is not taking any CENVAT credit at all on the invoices at the time of receipt of inputs. There is a specific input output co-relation for every batch of every drug known as consumption coefficient according to which the quantity of inputs which have gone into the manufacture of that particular batch of the particular drug can be ascertained. The appellant has been availing CENVAT credit only on the proportionate amount of inputs which are gone into manufacture of either dutiable goods or in the manufacture of exempted goods which are exported. Therefore, there is no availment of common input credit. The credit is availed only on such quantity of inputs as gone into the manufacture of dutiable products or exempted products which are exported. Whether in a case where the exempted goods are exported under bond, whether the assessee is required to reverse an amount under Rule 6(3) or whether it gets covered by Rule 6(6) and hence no reversal is required? - HELD THAT:- In respect of the same appellant, this Bench in ASTRIX LABORATORIES LTD., VERSUS COMMISSIONER OF CENTRAL EXCISE, CUSTOMS AND SERVICE TAX, HYDERABAD-I AND VICE VERSA [2018 (3) TMI 837 - CESTAT HYDERABAD] and ASTRIX LABORATORIES LIMITED VERSUS COMMISSIONER OF CENTRAL EXCISE, CUSTOMS & SERVICE TAX, HYDERABAD-I, [2019 (5) TMI 1344 - CESTAT HYDERABAD] has decided in favour of the appellant on both these issues, holding that such case where goods are exported, direction by revenue to the petitioner to pay 10% of sale price of exempted goods u/r 6(3)(b) is not justified. If the exempted products are exported outside India the provisions of Rule 6(6)(v) of CCR are applicable. Appeal allowed - decided in favor of appellant.
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