2013 (2) TMI 545

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..... sioner (AR) Per: M. Veeraiyan: Heard both sides on the stay petition. 2.1. The appellant having taken CENVAT credit on inputs have created a reserve on a monthly basis for slow moving inventory as well as for excess inventory. This has been done in terms of their corporate policy. The quantity of inputs/value of the inputs relating to slow moving category moved into reserve may be ultimately wr .....

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..... rved and put to use. Only a small portion of the goods were not used when the show cause notice was received by them and that the credit involved on such inputs amounting to Rs.19,65,280/- was paid by them. Even the goods in respect of which credit was reversed were not written off and mostly they are usable. Therefore, he submits that the presumption under which the confirmation of demand has bee .....

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..... were moved into the reserve category for which provisions were made were dereserved in the subsequent months. 6. Therefore, prima facie, we cannot treat the inputs and the value of inputs as written off in the books of accounts. In view of the above, we hold that the appellant has made out a prima facie for waiver of the balance of the dues as per the impugned order and, accordingly, we waive pr .....

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