Home Case Index All Cases Central Excise Central Excise + AT Central Excise - 2018 (5) TMI AT This
Forgot password New User/ Regiser ⇒ Register to get Live Demo
2018 (5) TMI 1114 - AT - Central ExciseDemand of excise duty - capital goods sold as scrap - CENVAT/MODVAT credit was not availed in the capital goods. Held that: - it is an admitted fact that the capital goods were procured prior to the introduction of MODVAT credit on capital goods and therefore, no credit was availed on the same at the time of procurement. The payment of duty on capital goods removed as such or removed as scrap, with reference to Rule 3 of CENVAT Credit Rules, 2004 arises only in a case where the assessee had availed credit on the capital goods which are removed from the factory. In the case of UOI vs. Hindustan Zinc Ltd. [2007 (3) TMI 198 - HIGH COURT RAJASTHAN] wherein it is clearly held that if the capital goods which are not the one subjected to availing of MODVAT credit by the manufacturer, no duty is payable on removal of its waste and scrap from its factory. Appeal allowed - decided in favor of appellant.
|