2023 (1) TMI 186 - AT - Central Excise
CENVAT Credit - manufacture of taxable (trading) as well as exempt goods - It appeared to Revenue that credit of Service Tax attributable to service used in a Unit exclusively engaged in the manufacture of exempted goods was distributed by Input Service distributor, to Units which were manufacturing dutiable goods - availment of area based exemption - HELD THAT:- Reliance placed in the case of M/S DABUR INDIA LIMITED VERSUS COMMISSIONER OF CENTRAL EXCISE & SERVICE TAX, GHAZIABAD [2017 (5) TMI 599 - CESTAT ALLAHABAD] where it was held that Clause (b) of Rule 7 of the CCR, 2004 that existed during material time provided that such Cenvat credit of Service Tax paid was not admissible to be distributed which was exclusively used in unit engaged in the manufacture of exempted goods.
Reliance also placed upon the case of M/S DABUR INDIA LTD. VERSUS CCE, JAIPUR-I [2017 (9) TMI 344 - CESTAT NEW DELHI] where similar view was adopted.
The issue in the present appeals is no longer res-integra. Though the learned AR mentioned that all those Tribunal orders are appealed against before the respective jurisdictional high court, however in absence of any stay order by any of the High Courts, the Tribunal orders shall prevail. Hence, following the precedent decision of Tribunal in the Appellant’s own case and also following the judicial discipline as per which the decisions of the co-ordinate benches of the tribunal are binding on us, we do not find any merits in the impugned orders and the same are liable to be set aside.