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TMI Blog2013 (11) TMI 1115X X X X Extracts X X X X X X X X Extracts X X X X ..... 4083910 of Central Excise Tariff Act, 1985. For the manufacture of veneer, the Appellant had imported wooden logs in the year, 2006-07, on which Special Additional Duty (SAD) @4% had been discharged under Section 3(5) of the Customs Tariff Act, 1975. The Appellant had filed refund claim for Rs.6,14,424/- on the ground that the amount of SAD paid on the imported wooden logs during 2006-07 were not availed as CENVAT Credit by them, even though, they were eligible for the same. The Appellant had sought refund of the said non-availed CENVAT Credit amount, on the ground that duty was paid from their PLA account during the said financial year, which they would not have paid, had they availed CENVAT Credit on SAD. A show cause notice was issued to ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... d they availed the CENVAT Credit on the imported timber logs. Therefore, the CENVAT Credit being not availed during the financial year 2006-07, be allowed to them as a refund. The ld. Advocate, however, fairly accepted that the Appellant had been availing the benefit of SSI exemption Notification No.08/03-CE dated 01.03.2003, as amended. Since they were clearing their goods at nil rate of duty for the aggregate value of clearances of all excisable goods upto Rs.1.00 crore and started payment of duty on exceeding the said limit by availing the CENVAT Credit, they were required to reverse the CENVAT Credit lying in balance at the end of the financial year, when they again opt for exemption under the said Notification for the subsequent financ ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ties had categorically held that at no point of time, the Appellant was debarred or prevented by the Department from availing the CENVAT Credit on the Special Additional Duty (SAD) paid by them on the imported timber logs during the year, 2006-07. I am of the opinion that merely because the Appellant did not claim the CENVAT Credit on the SAD amount and chose to pay the duty by debiting their PLA Account, they would not be entitled to refund of CENVAT Credit on SAD, since refund of credit erroneously paid is a different issue, then claiming refund of the CENVAT Credit not availed earlier, even if eligible during the relevant period. In my view, the question of refund would arise only when the duty has been paid. But, in the present case, th ..... X X X X Extracts X X X X X X X X Extracts X X X X
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