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2016 (6) TMI 609

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..... nterchangeably. We cannot agree to this submission. Section 11 AC uses the word duty as determined . The Commissioner (Appeals) has relied on several judgments while upholding the view taken by adjudicating authority in giving the benefit of adjusting the Cenvat credit. In Aditya Industries Vs. CCE, Hyderabad (2007 (2) TMI 550 - CESTAT, BANGALORE ) the Coordinate Bench of the Tribunal observe .....

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..... demand of ₹ 35,18,547/-, along with interest and imposition of penalty under 11AC of Central Excise Act, 1944, After due process of law, the original authority confirmed the demand of ₹ 35,18,547/-. It was observed that the undervaluation is due to non-inclusion of the value of Polyester film used in manufacture of laminated pouches. After verification of invoices, the original authori .....

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..... e lower authority allowed the Cenvat credit after perusal of invoices and detailed worksheet submitted by assessee. That there was no dispute of the fact that polyester film was used in manufacture of pouches held that benefit of credit of ₹ 29,82,172/- has been rightly allowed. The appeal filed by department was dismissed upholding the order passed by original authority. 4. In the presen .....

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..... ion of duty cannot challenge the imposition of penalty only. Section 11 AC provides for penalty in cases of short levy or non levy of duty in certain cases. It states that the assessee would be liable to pay duty as determined by the officer. The original authority determined the duty as ₹ 5,36,375/- after giving benefit of Cenvat credit and imposed equal penalty to this duty liability which .....

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..... ch of the Tribunal observed that, since the Modvat credit available to the appellants is much more than the duty demanded, no further demand is sustainable. The said demand can be adjusted against the credit claimed by the appellants. Therefore, the penalties on the appellants are not sustainable. 9. Similar view was taken in Camlin Ltd Vs CCE, Mumbai 2008(232) ELT 266( Tri-Mum) and Chamundi St .....

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