TMI Blog2013 (4) TMI 221X X X X Extracts X X X X X X X X Extracts X X X X ..... t Rules, appellant were required to pay an amount equivalent to 10% of the value of the exempted goods cleared. Therefore, the confirmation of demand in their regard along with interest thereon cannot be faulted. In the decision of the Hon'ble High Court of Gujarat in the case abovementioned the appellant therein had reversed the proportionate credit at the time of clearance of the goods, though the same was not provided for in Rule 57CC of the Cenvat Credit Rules at the relevant time. However, in view of the retrospective amendment by Section 69 of the Finance Act, 2010, they became entitled for such a facility. In that context, the Hon'ble High Court held that the appellant be permitted to file an application for regularization of the cre ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Rs, 7,77,691/- equivalent to 10% of the total price of the exempted goods under Rule 6 (3) of the Cenvat Credit Rules, 2004 along with interest thereon under Rule 14 of the Cenvat Credit Rules, 2004 read with Section 11AB of Central Excise Act, 1944. The notice also proposed imposition of penalty under Section 15(3) of the Cenvat Credit Rules, 2004. The notice was adjudicated and the impugned demand was confirmed and a penalty of Rs. 20,000/- (Rs. 10,000/- in each case) was imposed on the appellant. The appellant preferred an appeal before the lower appellate authority, who dismissed the appeal. Hence, the appellant is before me. 3. The Ld. Counsel for the appellant submit that it is a fact that they had not maintained separate records o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nce Act, 2010. In view of the above position, the appellant cannot now plead that they would reverse the proportionate Cenvat Credit. 5. I have carefully considered the rival submissions. 5.1 After hearing the arguments, I am of the view that the appeal itself can be disposed of at this stage. Accordingly, after allowing the stay application, I take up the appeal for consideration and disposal. 5.2 The undisputed facts in this case are that the appellant availed input service tax credit in respect of both dutiable as well as exempted final products and did not maintain separate accounts with respect to the such availment. Therefore, as per the provisions of Rule 6 (3) of the Cenvat Credit Rules, they were required to pay an amount equ ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ant or Cost Accountant certifying the input credit attributable to the inputs used in or in relation to the manufacture of final products, which are exempted from the whole of the duty of excise leviable thereon or chargeable to nil rate of duty within a period of six months from the date on which the Finance Bill 2010 receives the assent of the President. On such application, the Commissioner of Central Excise can call upon the applicant to pay the differential amount along with interest, which shall be paid within a period of ten days from the date of receipt of the communication from the Commissioner in this regard. It may be seen that specific time limits have been prescribed in the Finance Act, 2010 for regularization of the Cenvat Cre ..... X X X X Extracts X X X X X X X X Extracts X X X X
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