Subscription   Feedback   New User   Login      
Tax Management India .com
TMI - Tax Management India. Com
Articles Highlights TMI Notes SMS News Newsletters Calendar Imp. Links Database Experts Contact us More....
Extracts
Home List
← Previous Next →

The Commissioner of Central Excise And Service Tax Versus M/s. Mukund Ltd.

2015 (4) TMI 696 - KARNATAKA HIGH COURT

CENVAT credit on oxygen and nitrogen gas - common procurement of gas versus Diversion of gases - integrated steel plant - Strategic Alliance Agreement - Held that:- it appears, the companies joined hands to manufacture the final products in terms of the Strategic Alliance Agreement. In the circumstances, we hold that CENVAT cannot be demanded on the ground that credit is being availed by one factory and material inputs are used by three factories, because the CENVAT able input is being used for .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

H COURT] - Decided against Revenue. - CEA No. 100009/2014 - Dated:- 4-3-2015 - B. S. Patil And P. S. Dinesh Kumar,JJ. For the Appellant : Sri S C Bheema Raddi, Adv For the Respondent : None JUDGMENT Revenue being aggrieved by the order passed by the Customs, Excise and Service Tax Appellate Tribunal, South Zonal Branch, Bangalore, in Final Order No.27216/2013 dated 30.12.2013 holding that the CENVAT credit availed by the respondent herein was in accordance with law, is in appeal. 2. Briefly stat .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

AAACM 5008 R XM 004 for the manufacture of Alloy and Non-alloy Steel Billets, Blooms and Rounds and the company M/s.Kalyani Steels Limited having entered into a "Strategic Alliance Agreement" dated 16.05.1998 for the production of steel through integrated steel plant had entered into an agreement with another company namely M/s.Hospet Steels Limited, to avail the services in the field of administration, personnel, accounts, human resource development etc., and in pursuance of the said .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

of the appellant was in violation of the Act. 3. During the course of search operations, statements of Executives of the Companies viz., Sri C.G.Patankar, the Executive Director, Corporate Office of M/s.Kalyani Steels Limited, Sri S.B.Jhaveri, Vice-President (Finance) Corporate Office, M/s.Mukund Limited, Sri V.N.Hegde, Manager (Finance) of M/s.Hospet Steels Limited, incharge of Excise M/s.Mukund Limited, Ginigera, Sri L.Bhaskar, Deputy General Manager of M/s.Hospet Steels Limited, incharge of .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

rder-in-Original in C.No.V/72/15/76/2005 Adjn. Dated 31.07.2006 and confirmed the demand of CENVAT Credit, ordered for appropriation of the amount paid by the respondent herein and imposed a penalty on the companies as well as their Executives except M/s.Praxiar India Limited. 4. Being aggrieved by the Order in Original, four appeals were filed by the respondent, two Officers working under the respondent and an Executive working under M/s.Hospet Steels Limited before the appellate authority i.e. .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

dent herein. Challenging the order of CESTAT, the revenue has preferred this appeal under Section 35G of the Central Excise Act, 1944 contending that the issue involves a question of law for determination by this Court. 6. We have heard Sri Bheema Raddi, learned counsel appearing for the revenue and Sri Sangram S.Kulkarni, learned counsel appearing for the respondent. 7. Facts in this case are in a very narrow compass and not in dispute. M/s.Praxair India Limited was supplying oxygen and nitroge .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

could initiate against the respondent. Therefore, the question that falls for our consideration in this case is: 'Whether or not the alleged diversion of the gases and use of these gases by two companies and the CENVAT credit being availed only by the respondent herein is in violation of the Provisions of Central Excise Act and Rules?' 8. The Principal Bench of this Court had an occasion to deal with a similar case in CEA No.42/2011 which was disposed of on 19.06.2014. After referring to .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

are using the gases indented by respondent herein. In paragraph 2 of the show-cause notice, the revenue, has referred to the Strategic Alliance Agreement dated 16.05.1998 as also the ratio in which the two companies would be manufacturing respective products. To appreciate as to what exactly the agreement defines, it is necessary to note the salient points of the agreement which are as follows: a) respondent manufactures alloy and non-alloy steel billets and blooms; b) Kalyani Steels Limited man .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

 

 

 

 

 

what is new what is new
  ↓     bird's eye view     ↓  


|| Home || Acts and Rules || Notifications || Circulars || Schedules || Tariff || Forms || Case Laws || Manuals ||

|| About us || Contact us || Disclaimer || Terms of Use || Privacy Policy || TMI Database || Members || Site Map ||

© Taxmanagementindia.com [A unit of MS Knowledge Processing Pvt. Ltd.] All rights reserved.

Go to Mobile Version