9911796707
TMI Blog2011 (9) TMI 148X X X X Extracts X X X X X X X X Extracts X X X X ..... f Act, 1985. During the period from 21/02/2007to 31/01/2008 the appellant cleared their products to M/s.Eon Kharadi Infrastructure Pvt Ltd., who is an SEZ developer without payment of duty under bond as per the prescribed procedure. They also availed Cenvat Credit on the inputs and capital goods used in the manufacture of said goods. The departments was of the view that the appellant has to maintain separate accounts in respect of inputs and capital goods used in the manufacture of dutiable goods and the goods supplied without payment of duty, which has not been done and, therefore, the appellant is required to reverse an amount equal to 10% of the value of the goods cleared to the SEZ developers. Accordingly, a show cause notice dated 29/0 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ppellant submits that supplies made to SEZ developer have all along be deemed as exports and, therefore, there is no duty liability to be discharged in respect of such supplies. Notification No.50/2008-CE(NT) dated 31/12/2008 amended Rule 6 (6) (i) of Cenvat Credit Rule, 2004 to include goods cleared to SEZ developer for authorised operations. This amendment is clarificatory in nature and, therefore, has retrospective application. Supplies made to SEZ developers are deemed export and not exempt from excise duty and, therefore, the provisions of Rule 6 (3) (b) has no application. The Ld. Counsel also relied on the judgement of this Tribunal in the case of Sujana Metal Products Ltd., Vs. CCE, Hyderabad reported in 2011-TIOL-1170-CESTAT-Bang d ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... supplies made to SEZ from DTA units shall be treated as export. c) Since both during the period prior to and w.e.f 10/02/2006, the supplies made to SEZ are held to be export . The application of provisions of Cenvat Credit Rules for recovery of amounts on goods supplied to SEZ units in terms of Rule 6 of CCR, 2002/CCR, 2004 does not arise. d) The amendment to Rule 6 (6) (i) of the CCR, 2004 by the amending Notification No.50/2008-CE (NT) dated 31/12/2008 shall be applicable w.e.f 10/09/2004 when the CCR, 2004 came into existence and, therefore, exception provided under Rule 6 (6) of Cenvat Credit Rules, 2004 shall be applicable to supply of exempted goods both to SEZ units and SEZ developers/promoters. 8. Respectfull ..... X X X X Extracts X X X X X X X X Extracts X X X X
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