TMI Blog2014 (3) TMI 128X X X X Extracts X X X X X X X X Extracts X X X X ..... edit. The only aspect which has to be checked in as to whether the wire manufacturers had obtained refund of the duty paid by them on the wire and in case they have taken the refund, the respondent would not be eligible for CENVAT credit. Matter remanded back for denovo adjudication in the light of the observations made in the case of Punjab Lighting Aids P. Ltd. - Decided in favor of assessee. - Appeal No. E/975/2005 - Final Order No. 40153/2014 - Dated:- 3-3-2014 - Shri P.K. Das, J. For the Appellant : Shri K.S.V.V. Prasad, JC (AR) For the Respondent : Shri Raju (Jt. D.R.) JUDGEMENT The relevant facts of the case, in brief, are that the respondents/assessees is engaged in the conversion of black bars / coils int ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... eligible to avail CENVAT credit of the duty paid on that wire rods and the amount paid as duty on the clearance on wires was to be treated as central excise duty. CBEC in its Circular No.831/8/06-CE dated 26.7.2006 clarified as under:- 4.1 Rule 16 of the Central Excise Rules, 2002 has been retrospectively amended to declare wire drawing units as assessees for the period 29-5-03 to 8-7-04, hereinafter referred to as the said period. 4.2 The process of drawing of wire from wire rod was held as not amounting to manufacture by the Supreme Court in the case of M/s Technoweld Industries [2003 (155) E.L.T. 209 (S.C.)]. Therefore, the benefit of availment of credit of duty on inputs by the wire drawing units was withdrawn on 29-5-03 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... availment of credits at two stages and payment of an amount representing duty at one stage. The purpose of the amendment is to regularize credit taken at the input stage (on wire-rod), credit taken by the downstream user of drawn wire and the amount paid as central excise duty on clearance of drawn wire. In other words, wire drawing units, which had paid a sum equal to duty leviable on drawn wire, would be eligible to avail the credit of duty paid on inputs and utilize the same for payment of duty on drawn wire for the period of amendment. The sum paid by the wire drawing unit in such cases will be treated as duty and shall be allowed as credit to the buyer of drawn wire, in terms of the amendment. This amendment would not create any addi ..... X X X X Extracts X X X X X X X X Extracts X X X X
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