TMI Blog2015 (8) TMI 249X X X X Extracts X X X X X X X X Extracts X X X X ..... n application to the Commissioner of Central Excise along with documentary evidence and a Certificate from the Chartered Accountant or a Cost Accountant, certifying the amount of input credit attributable to the inputs used in or in relation to the manufacture of exempted goods within a period of six months from the date on which the Finance Bill, 2010 received the assent of the President. However, in the present case, even as per the show cause notice and the order of adjudication, it is clear that the input credit has been reversed by the respondent/assessee even prior to the amendment. In such view of the matter, the Tribunal, following the decision of the Allahabad High Court in Hello Mineral Water case (2004 (7) TMI 98 - HIGH COURT OF ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ectricity) and (vi) industrial washing products. The respondent had taken Modvat credit on the common inputs, viz., activated carbon, caustic soda and filter paper with effect from 1.9.1996. 3. With regard to the common inputs, viz., activated carbon, filter paper and caustic soda, the respondent took cenvat credit only for the month of September, 1996, to the extent of ₹ 33,050/= which was subsequently reversed on 17.10.96 and this fact is not disputed. The respondent did not avail any cenvat credit after September, 1996 on all the aforementioned common inputs. 4. In respect of furnace oil used for generation of electricity, the following pro rata amounts were paid towards the exempted Lehar Slice : - Amount ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the assessee/respondent demanding payment of duty. 7. A reply was issued by the assessee/respondent to the show cause notice stating that they had reversed the entire credit on the common inputs used in the manufacture of dutiable as well as exempted goods and, therefore, no demand should be made. However, the said submission was rejected by the adjudicating authority, who in his original order of adjudication, confirmed the demand of duty at 8% of the value of clearance. Against the said adjudication order, the assessee preferred appeal before the Commissioner (Appeals), who dismissed the appeal. 8. On further appeal before the Tribunal, the Tribunal reversed the order of the Commissioner (Appeals) placing reliance on the decision of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the following subrule shall be inserted, namely : (7) Where a dispute relating to adjustment of credit on inputs or input services used in or in relation to exempted final products relating to the period beginning on the 10th day of September, 2004 and ending with the 31st day of March, 2008 (both days inclusive) is pending on the date on which the Finance Bill, 2010 receives the assent of the President, then, notwithstanding anything contained in sub-rules (1) and (2), and clauses (a) and (b) of sub-rule (3), a manufacturer availing Cenvat credit in respect of any inputs or input services and manufacturing final products which are chargeable to duty and also other final products which are exempted goods, may pay an amount equivalent ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... from the whole of the duty of excise leviable thereon, or is chargeable to nil rate of duty, if the manufacturer takes credit of the inputs used in manufacture of both exempted and dutiable final products, in the absence of the manufacturer maintaining separate books of accounts as required under sub-rule (9) of Rule 57CC, the manufacturer is liable to pay 8% of the price of exempted products. 13. For claiming the benefit under Section 57CC (9) of the Act, the manufacturer has to maintain separate books of accounts, sub-section (2) to Section 73 of the Finance Act, 2010 mandates that the assessee has to make an application to the Commissioner of Central Excise along with documentary evidence and a Certificate from the Chartered Accounta ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Notification Number G.S.R. 600 (E), dated the 10th September, 2004 [23/2004- CENTRAL EXCISE (N.T.), dated the 10th September, 2004]. In the Cenvat Credit Rules, 2004, in Rule 6, after subrule (6), the following subrule shall be inserted, namely : (7) Where a dispute relating to adjustment of credit on inputs or input services used in or in relation to exempted final products relating to the period beginning on the 10th day of September, 2004 and ending with the 31st day of March, 2008 (both days inclusive) is pending on the date on which the Finance Bill, 2010 receives the assent of the President, then, notwithstanding anything contained in sub-rules (1) and (2), and clauses (a) and (b) of sub-rule (3), a manufacturer ..... X X X X Extracts X X X X X X X X Extracts X X X X
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