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2023 (2) TMI 661 - AT - Central ExciseRecovery of wrongly availed and utilized CENVAT credit alongwith interest and penalty - Supply of HR Coils and other inputs - process amounting to manufacture or not - denial of CENVAT Credit on the ground that Rule 3 of the Cenvat Credit Rules [CCR], 2004 provides for credit of duty of excise, but not the credit of an amount deposited under section 11D. HELD THAT:- The appellant is a buyer of the materials and had paid the amount as duty of excise and not as an amount under section 11D. The goods have been correctly received and accounted for. If the Revenue was of the opinion that M/s Bhushan Steels had wrongly assessed its duty liability and paid certain amount as duty of excise when in fact the activities did not amount to manufacture at all, the officers who had jurisdiction over M/s Bhushan Steels should have examined this matter while assessing the returns filed by M/s Bhushan Steels and taken appropriate action. The officer who issued the SCN had jurisdiction over the appellant and not over M/s Bhushan Steels - the SCN itself was issued without any authority of law. No doubt, the SCN intends to recover the Cenvat credit availed by the appellant but the basis for such of recovery is the assertion that the activities of M/s Bhushan Steels, Ghaziabad, who had supplied the goods did not amount to manufacture. Deciding the amount of excise duty leviable and deciding whether the activities of an assessee amount to manufacture or otherwise and other related issues are matters of assessment. Such assessment can be done by the assessee itself (self-assessment under Rule 6 of Central Excise Rules, 2002) or by the Scrutinizing Officer who has jurisdiction for the assessee under Rule 12 (3) of the Central Excise Rules. Neither the appellant in this case who is the only the buyer of the goods nor the Assistant Commissioner who has jurisdiction over the appellant had any jurisdiction or right to change the assessment made by M/s Bhushan Steels - the entire SCN and the consequent orders need to be set aside. Nothing in the CCR, or the Central Excise Rules or the Act which places such an obligation on any assessee who is the buyer of the goods. The SCN and the consequent orders need to be set aside on this ground as well. Appeal allowed.
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