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2020 (6) TMI 120 - AT - Central ExciseRefund of CENVAT Credit - denial on the ground of unjust enrichment - allegation is that the appellant has not established that the incidence of the ST has not been passed on to the buyer - HELD THAT:- The appellant have filed the refund claim in respect of Cenvat Credit reversed by them which is related to a compensation charges towards the short lifting of steam. In this undisputed fact, the compensation paid by the appellant to M/s. PR Ecoenergy Pvt. Ltd. is related to supply of steam which is used in the manufacture of final product by the appellant therefore, this expenses is directly in relation to the manufacture of final product. Hence, the same is admissible input service. Therefore, there is no doubt that the appellant is entitled for the Cenvat Credit of Service Tax paid on compensation for non-lifting of steam by the appellant. Unjust Enrichment - HELD THAT:- The appellant have accounted for the amount of refund in their ledger as recoverable dues therefore, the amount was not included in any of the amount which was recovered or recoverable from the buyer. Hence, it is clear that the incidence of the refund amount was not (sic) paid passed on by the appellant to any other person - the appellant have passed the test of unjust enrichment. Appeal allowed - decided in favor of appellant.
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