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2017 (11) TMI 1469 - AT - Central ExciseLiability of interest and penalty - irregular availment of Cenvat Credit of Customs Education Cess paid against the Bills of Entry (but not utilised) - Held that: - the wrongly availed Cenvat Credit of ₹ 21,44,480/-, had never been utilized by the appellant for payment of duty on the finished goods removed by it from the factory. Since the appellant had all along maintained sufficient balance in between the period of taking of Cenvat Credit and its subsequent reversal, such entry in the Cenvat account will be considered as a mere book entry and in absence of its utilization, demand of interest and penalty cannot be confirmed against the appellant. Identical issue decided in the case of COMMISSIONER OF CENTRAL EXCISE & SERVICE TAX LARGE TAXPAYER UNIT, BANGALORE Versus M/s BILL FORGE PVT LTD, BANGALORE [2011 (4) TMI 969 - KARNATAKA HIGH COURT], where it was held that once the entry was reversed, it is as if that the Cenvat credit was not available. Appeal allowed - decided in favor of appellant.
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