9911796707
TMI Blog2012 (6) TMI 369X X X X Extracts X X X X X X X X Extracts X X X X ..... ief, are that M/s Cello Home Products holding Central Excise registration is engaged in manufacture of insulated wares viz. casseroles, coffee jugs etc falling under Chapter 39 of Customs Excise Tariff Act, 1985 and are availing the facility of CENVAT Credit. During the course of EA-2000 Audit, it was noticed that the assessee has availed CENVAT Credit on ceramic mugs, tea cup saucers classified u ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... CENVAT Credit of Rs.2,33,152/- was not admissible as the said bought-out goods were not being eligible as inputs as per definition given in Rule 2(k) of CENVAT Credit Rules, 2004. 2. Proceedings were initiated for recovery of CENVAT Credit of Rs.2,33,152/- with interest and proposing penalty which culminated into confirmation of demand and imposition of penalty equal to CENVAT Credit avai ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... pellant themselves. Department s stand is that ceramics mugs is not input and is not required for the manufacture of product by the appellant and therefore CENVAT Credit is not admissible. Ld.Advocate relied upon the decision of Hon'ble High Court of Gujarat in the case of CCE Daman Vs Prime Healthcare Products 2011 (272) ELT 54 (Guj.), wherein it was held that when a combo pack of bought out toot ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... on 4A whereas ceramic mugs are not notified under Section 4A. I find that in the case of Gupta Soaps, the combo pack consisted of a soap and a plastic dish. While the soap is a notified under Section 4A of Central Excise Act, 1944, the plastic dish is not. On going through the definition of Section 4A, it is found that only self-adhesive tape of plastic and insulated ware etc falling under Chapter ..... X X X X Extracts X X X X X X X X Extracts X X X X
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