TMI Blog2012 (11) TMI 726X X X X Extracts X X X X X X X X Extracts X X X X ..... 07. - In this case, they had procured inputs and capital goods by way of import and also from indigenous sources and had taken CENVAT credit of CVD/Central Excise duty paid thereon. - Respondent paid duty of excise on the imported inputs cleared ‘as such’ to their sister concern in DTA - respondent was entitled to pay such duty either wholly from PLA or partly from PLA and partly from CENVAT account. There is no law denying this right to a 100% EOU – in favor of assessee - E/1858-1859/2010 - 932-933/2011 - Dated:- 23-12-2011 - Shri P.G. Chacko, J. REPRESENTED BY : Shri M.M. Ravi Rajendran, DR, for the Appellant. Ms. Mona, Advocate, for the Respondent. [Order[. These appeals are by the department aggrieved by two orders ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t show-cause notices, the department objected to above utilization of CENVAT credit for payment of duty on the imported inputs cleared as such to the DTA, on the ground that the duty paid on the DTA clearances consisted of elements of customs duties and therefore no CENVAT credit could be utilized for such payment. Nevertheless, the show-cause notices chose to demand as customs duty under Section 28 of the Customs Act the entire amount of duty-paid on the DTA clearances of inputs and to demand Interest thereon under Section 28AA of the Act. Penalties were proposed under Section 117 of the Act. These demands/proposals were contested by the party. In adjudication, the original authority confirmed the demands and imposed penalties. The order ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... pass the following order. ORDER Impugned order is set aside and the appeal is allowed. 4. In the present appeals filed by the department, it is submitted that the assessee paid the customs duty partly through PLA (account current) and partly through CENVAT credit and that the payment through account current is irregular as this account is maintained under the provisions of Central Excise Act/Rules. It is further submitted that CENVAT credit could not be utilized for payment of customs duty. Referring to certain decisions of this Tribunal, which were considered by the learned Commissioner (Appeals), the appellant submits that these decisions are not relevant to the case. The learned Deputy Commissioner (AR) has reiterated the grounds ..... X X X X Extracts X X X X X X X X Extracts X X X X
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