TMI Blog2011 (4) TMI 1090X X X X Extracts X X X X X X X X Extracts X X X X ..... hey started manufacturing excisable goods and clearing the said goods. There is no period of limitation prescribed for availing the Cenvat credit. Once the duty is paid on the capital goods, the assessee would get a right to avail the Cenvat credit if and when they have to pay duty on excisable goods, assessee is entitled to avail the benefit of Cenvat credit, while clearing the excisable goods, d ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... of excise leviable thereon or is chareable to Nil rate of duty ?" 2. The assessee M/s Kailash Auto Builders Limited, are engaged in manufacture of motor vehicles for transport of goods falling under Chapter heading 8704 of CETA 1985. They have availed Modvat credit amounting to Rs. 1,29,044-00 in respect of capital goods received by them under Rule 57Q of the Central Excise Rules, 1944. The Assi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... r of the Assessing Authority. Aggrieved by the same, the assessee preferred an appeal to the Tribunal. The Tribunal relying on the earlier order dated 30.10.2001 passed in the case of the very same assessee, held that the assessee has not utilized the credit of duty for clearing the exempted goods. They have claimed credit only in respect of excisable goods. Once credit on capital goods is availed ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... arise. However, in respect of excisable goods, the duty payable thereon was not paid and the Cenvat credit was utilized. In the entire material on record, there is nothing to indicate that the capital goods were purchased with any undertaking that the said goods will be used exclusively for the manufacture of exempted goods. In the absence of any such undertaking, when admittedly the capital good ..... X X X X Extracts X X X X X X X X Extracts X X X X
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