TMI Blog2015 (10) TMI 141X X X X Extracts X X X X X X X X Extracts X X X X ..... while dealing with the Rule 3(5) of CENVAT Credit Rules on the issue in respect of valuation of inputs on which CENVAT Credit has been availed and removed as such held in favour of the assessee. Rule 3(5) of CENVAT Credit Rules 2004 provides that when inputs or capital goods on which CENVAT Credit has been taken are removed as such from the factory, the manufacturer of the final product shall pay an amount equal to the credit availed in respect of such inputs. - Decided in favour of assessee. - Appeal No. E/2012/2006-EX (DB) - - - Dated:- 21-1-2015 - P. K. Das, Member (J) And P. S. Pruthi, Member (T),JJ. For the Appellant : Ms Swati Gupta Shri R K Hasija Advs. For the Respondent : Shri Yashpal Sharma, AR ORDER Per: ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ld.Authorised Representative for the Revenue reiterates the findings of the Commissioner (Appeals). He drew the attention of the Bench to the Rule 57AB (1)(b) of the Central Excise Rules, 2002. It is submitted that as per Explanation inserted during the relevant period, the appellant is liable to pay the appropriate duty of Excise as if the such inputs have been manufactured and removed from the factory. 4. After hearing both the sides and on perusal of the records, we find the explanation to Rule 57AB of Central Excise Rules 1944 provides when inputs or capital goods are removed from the factory, the manufacturer of the final product would pay the appropriate duty of excise leviable thereon as if such inputs or capital goods have been ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... al product manufactured by the manufacturer or for payment of duty on inputs or capital good themselves if such inputs are removed as such or after being partially processed, or such capital goods are removed as such. Explanation:- When inputs or capital goods are removed from the factory, the manufacturer of the final products shall pay the appropriate duty of excise leviable thereon as if such inputs or capital goods have been manufactured in the said factory, and such removal shall be made under the cover of an invoice prescribed under Rule 52A. Prior to this Rule 57F, Central Excise Rules also provides that in case the inputs regarding which credit of duty has been availed by the manufacturer are removed from the factory as ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... 57AB (b) which is under consideration, even this condition is not there. Therefore we find that the ratio of the decisions of the Tribunal in the case of CCE v. American Auto Services and CCE v. ABB (supra) are applicable on the facts of the present case hence the reversal of credit availed at the time of receipt of inputs is sufficient at the time of clearance of inputs as such from the factory of production hence the demand is not sustainable and set aside and appeal in this regard is allowed. 6. We find that the present case is squarely covered by the decision of the Tribunal in the case of Tata Motors Ltd (supra). In view of that, the impugned order passed by the lower authorities is not sustainable. Accordingly, the impugned orde ..... X X X X Extracts X X X X X X X X Extracts X X X X
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