TMI Blog2015 (2) TMI 38X X X X Extracts X X X X X X X X Extracts X X X X ..... ment of credit has to be scrupulously satisfied. Where the goods are exempted from payment of duty, Cenvat Credit Rules, 2004 does not provide for availment of credit. As per sub-rule (1) of Rule 6, "Cenvat Credit shall not be allowed on such quantity of input used in or in relation to the manufacture of exempted goods or for provision of exempted services", This position has been clarified by the Hon'ble Apex Court in the decision relied upon by the Revenue in the case of Amrit Paper (cited supra). Further even in respect of goods on which payment of duty is remitted, Cenvat credit has to be reversed as per Rule 3 (5C) of Cenvat Credit Rules. Prima facie appellant has not made out any case on merits for a complete waiver of pre-depo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... nvat Credit Rules, 2004. The appellant also availed benefit of Notification No. 06/2006- CE dated 01/03/2006. Under Serial No. 5 of the table annexed to the said notification a nil rate of duty is prescribed on goods intended to be used for installation of a cold storage, cold room or refrigerated vehicle, for the preservation, storage of transport of agricultural produce subject to certain conditions stipulated therein. The condition prescribed for availing exemption is that such goods are cleared for the intended use and the procedure prescribed under Central Excise (Removal of Goods at Concessional Rate of Duty for Manufacture of Excisable Goods) Rules, 2001 is followed. Inasmuch as the appellant was availing benefit of exemption in re ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... these decisions, the goods are cleared under bond and not under any exemption. Therefore, on the goods which are cleared under bond, the provisions of Cenvat Credit Rules, will not apply. The learned Counsel also submits that the appellant's own case in respect of another unit, the department had dropped the demands raised on similar grounds. Thus the department was aware of the activities of the appellant. Therefore, in the present case the demands are time barred. Accordingly, he pleads that the stay be granted. 4. The learned Additional Commissioner (AR) appearing for the Revenue on the other hand submits that the goods have been cleared availing the benefit of notification No. 06/2006-CE and as per the notification, the rate of d ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f Cenvat credit only when the inputs, inputs services, capital goods are used in or in relation to manufacture of dutiable final products, except in certain situations where the goods are cleared for exports or supplied to UN and other agencies or the clearances are effected under 7 specified notification under the 3 rd proviso to Rule 3 (4) of Cenvat Credit Rules. In all other cases, the conditions for availment of credit has to be scrupulously satisfied. Where the goods are exempted from payment of duty, Cenvat Credit Rules, 2004 does not provide for availment of credit. As per sub-rule (1) of Rule 6, Cenvat Credit shall not be allowed on such quantity of input used in or in relation to the manufacture of exempted goods or for provision ..... X X X X Extracts X X X X X X X X Extracts X X X X
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