New User   Login      
Tax Management India .com TMI - Tax Management India. Com
Extracts
Home List
← Previous Next →

2015 (6) TMI 987 - CESTAT NEW DELHI

2015 (6) TMI 987 - CESTAT NEW DELHI - 2015 (325) E.L.T. 924 (Tri. - Del.) - Shortages of stock - removal of inputs clandestinely - Held that:- It is admitted fact that during the course of verification of stock of inputs, there was shortages and have been explained by the Director that these shortages were due to the reason that they have not taken their stock position since long. It is also a fact that process of manufacturing of appellant is like that where HDPE granules goes waste. The appell .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

P. Ltd. (2010 (12) TMI 487 - GUJARAT HIGH COURT) that held that in the absence of any cogent evidence of removal of inputs clandestinely, the cenvat credit cannot be denied on shortage of inputs to the appellants. - Decided in favour of assessee - E/55804/2013 - Final Order No. A/51997/2015-SM(BR) - Dated:- 18-6-2015 - Shri Ashok Jindal, Member (J) Shri Bipin Garg, Advocate, for the Appellant. Shri R.K. Mishra, AR, for the Respondent. ORDER Appellant is in appeal against the impugned order wher .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

ken the stock position for a long time. Thereafter the appellant paid the duty on shortages. A show cause notice was issued to the appellant for appropriation of the said amount and for imposition of penalty under the provisions of Central Excise law. Matter was adjudicated. Demand of duty along with interest was confirmed. Penalty was also imposed. On appeal, learned Commissioner (Appeals) confirmed the order of adjudication. Aggrieved from the said order, appellants is before me. 3. Shri .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

gation and that shortage is due to clearance of storage of stock of goods what they have manufactured clandestinely. Although they have paid the duty on pointing out by the department, it does not mean that they have admitted the shortage. In these circumstances, without any cogent evidence of clandestine clearance of the goods, duty cannot be demanded. To support this contention, the appellant relied on the decision of CCE, Daman v. Nissan Thermoware P. Ltd. [2011 (266) E.L.T. 45 (Guj.); CCE, C .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

th cogent evidence that they have clandestinely removed the goods/inputs. He relied on the decision of Hon ble High Court of Allahabad in the case of Sarin and Sarin {[2015] 54 taxmann.com 147 (Allahabad)} to support his contention. He also relied on the decision of Bajrang Petro Chemicals (P) Ltd. v. CCE, Kanpur [2014-TIOL-2254-HC-ALL-CXI = 2015 (317) E.L.T. 243 (All.)]. 5. Heard the parties. Considered the submissions. 6. In this case, it is admitted fact that during the course of ve .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

umstances, burden lies on the Revenue to prove that the shortages were due to reason of clandestine removal of the goods. To that effect, no evidence has been brought on by the Revenue. Moreover, the learned AR relied on the decision of Hon ble High Court of Allahabad High Court in the case of Sarin v. Sarin (supra) wherein the facts of the case were that during the course of investigation, the shortages of material was found as well as unaccounted cash was also found in the premises of assessee .....

X X X X X X X

Extract - Part text only
Click here to Access Full Contents

X X X X X X X

 

 

 

 

 



|| 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