TMI Blog2015 (11) TMI 1413X X X X Extracts X X X X X X X X Extracts X X X X ..... mstances. We are concerned here with clause (vi) which states that if goods are cleared by a manufacturer of dutiable and exempted final products after discharging the obligation prescribed in Rule 6 of the CENVAT Credit Rules, 2001, then proviso would not apply. The case set up by the appellant therefore, was that since the exempted goods ('Cement') is cleared by the appellant who is a manufacturer of (a) 'dutiable final products' ('Clinker') and (b) 'exempted final products' ('Cement') after discharging the "obligation" prescribed in Rule 6 of the CENVAT Credit Rules, 2001, clause (vi) of the notification applies. Applicability of Rule 6 of Cenvat Credit Rules - Held that:- As per the CESTAT, Rule 6 applies only if some final produ ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... EAL NO. 2793 OF 2006, CIVIL APPEAL NO. 2912 OF 2006, CIVIL APPEAL NO. 10934 OF 2014, CIVIL APPEAL NO. 10394 OF 2013 - - - Dated:- 21-8-2015 - MR. A.K. SIKRI AND MR. ROHINTON FALI NARIMAN, JJ. For the Appellant : Mr. Ajay Aggarwal, Adv., Ms. Mallika Joshi, Adv., Mr. Rajan Narain, Adv., Mr. S. Ganesh, Sr. Adv., Mr. U. A. Rana, Adv., Ms. Mrinal A. Majumdar, Adv., M/s Gagrat Co., Mr. V. Lakshmikumaran, Adv., Mr. M. P. Devanath, Adv., Mr. Vivek Sharma, Adv., Ms. L. Charanaya, Adv., Mr. R. Ramchandran, Adv., Mr. Aditya Bhattacharya, Adv., Mr. Hemant Bajaj, Adv., Mr. Anandh K., Adv., Mr. Rupesh Kumar, Adv., Mr. Jitin Singhal, Adv. For the Respondent : Mr. Arijit Prasad, Adv., Mr. Vikas Singh Jangra, Adv., Mr. H. K. Naik, Adv., Mr. B ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the Central Excise Tariff Act, 1985, which deals with Salt; Sulphur; Clay and Stone; Plastering Materials; Lime and Cement. Sub-heading 25.02 in this behalf, which covers these products reads as under: - 25.02 Cement clinkers; cement, all sorts 2502.10 - Cement clinkers -Portland Cement (including ordinary Portland cement, Portland Pozzolana cement and Portland slag cement): 2502.21 - White cement, whether or not artificially coloured and whether or not with rapid hardening properties 2502.29 - Other 2502.30 - Al ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Act), the Central Government, being satisfied that it is necessary in the public interest so to do, hereby exempts - (i) capital goods as defined in the CENVAT Credit Rules, 2002 manufactured in a factory and used within the factory of production; (ii) goods specified in column(1) of the Table hereto annexed (hereinafter referred to as 'inputs') manufactured in a factory and used within the factory of production in or in relation to the manufacture of final products specified in column(2) of the said Table; from the whole of the duty of excise leviable thereon which is specified in the Schedules to the Central Excise Tariff Act, 1985 (5 of 1986) or additional duty of excise leviable thereon, which is specified in the Schedule ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... fibres falling under heading No. 58.01, 58.02, 58.06 (other than goods falling under sub-heading No. 5806.20), 60.01 or 60.02 (other than goods falling under sub-heading No. 6002.10) of the First Schedule to the said Act. As per clause (ii), with which we are concerned, goods specified under column (1) of the table which are inputs and manufactured in a factory and used within the factory of production in or in relation to manufacture of the final products specified in column (2) of the said table, are exempted from payment of excise duty. Thus, if the input is specified in column (1) and it is manufactured in its factory and at the same time captively used in or in relation to the manufacture of the final product, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... On facts, there is no dispute that appellants have discharged the 'obligation' prescribed in Rule 6 of the CENVAT Credit Rules. The respondent have not even disputed the same. The case set up by the appellant therefore, was that since the exempted goods ('Cement') is cleared by the appellant who is a manufacturer of (a) 'dutiable final products' ('Clinker') and (b) 'exempted final products' ('Cement') after discharging the obligation prescribed in Rule 6 of the CENVAT Credit Rules, 2001, clause (vi) of the notification applies. In such a case, exemption is available in respect of 'Clinker' which is captively consumed in the manufacture of 'Cement' as per the opening part ..... X X X X Extracts X X X X X X X X Extracts X X X X
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