Home Case Index All Cases Central Excise Central Excise + AT Central Excise - 2023 (7) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2023 (7) TMI 764 - AT - Central ExciseDisallowance of CENVAT credit wrongly utilized - capital goods - G.P. Coils - G.P. Sheets - HR Coils - C.R. Sheet - M.S. Angle - M.S. Plates - M.S. Channel - Shape and Section - Alloyed/Unalloyed cold Rolled Coil & Throughed Corrugated C R Sheet - and Primer & Pains - recovery alongwith interest and penalty - Order beyond the scope of the Show Cause Notice (SCN) - HELD THAT:- The panchnama prepared by the panchas who had been called by the Central Excise Officers to witness the verification of inputs used in the manufacture of ‘capital goods’, also gives details of the verification that was conducted to establish that the parts were used in the machines for fabrication work. The panchnama also records that the Officers were provided photocopies of relevant purchase invoices along with store issue slips of material duly signed by the concerned technical authority - It is, therefore, clear that the materials on which CENVAT credit had been taken had all been used for fabrication work of machines which are capital goods. In any view of the matter the show cause notices do not allege that the raw materials on which CENVAT credit had been taken had not been utilized for fabrication of ‘capital goods’. The Commissioner, therefore, could not have examined this issue - It is, therefore, not possible to sustain the finding recorded by the Commissioner that the items in question have not been used for fabrication of ‘capital goods’. Penalty - HELD THAT:- The imposition of penalty upon the Gautam Goel cannot also be sustained. Even otherwise, the learned counsel for the appellant is justified in asserting that there was no evidence on record to suggest that he was involved in the day to day affairs of the appellant, particularly with regard to availment of CENVAT Credit. Appeal allowed.
|