TMI Blog2008 (1) TMI 125X X X X Extracts X X X X X X X X Extracts X X X X ..... [Order]. -1. The appellants are engaged in the manufacture of pressure cookers which were cleared by them on payment of duty to their various depots and C F agents. They were also clearing empty master cartons, EMP Cartons, BOPP tapes, Cello tapes separately to the depots and C F agents and on which also the assessee have availed the Cenvat credit. They were issued two show cause notices stating that since the Master Cartons and other packaging materials were cleared separately and were not used within the factory of production but at the premises of the depots C F agents, the same cannot be considered as being used in or in relation to manufacture of final product and therefore sought to deny the Modvat credit on the same. The s ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... n used for generation of electricity and steam, the same could have been used outside the factory of production also. The CBEC Circular dated 8-5-2002 relied upon by the Commissioner (Appeals) is incorrect as decision of Apex Court in Vikram Cement case (cited supra) does not places any such restriction, that the credit is admissible only when the inputs are used within the factory premises or for jobwork outside the factory and not otherwise. The ld. Advocate took us through the decision of the Apex Court in Vikram Cement case wherein in para 21, it is clearly said that the definition of input under Rule 57AA was not entirely different from the manner in which the said work had been expanded in the explanation to Rule 57A of the Mo ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... -5-2003 on wards the packing charges which are incurred at the depot for packing the final product is to be considered as in relation to manufacture of the goods because, the goods are for the first time sold from the depot only and not otherwise. 5. On limitation it was submitted that the impugned order deals with two show cause notices, first dated 7-2-2005, which is for the period April 2001 to September 2004 and 2nd dated 7-11-2005 is for the period October 2004 to May 2005. It was submitted that in the first show cause notice said, major part is hit by time-bar as the demand was beyond the period of one year. The show cause notice issued on 7-2-2005 nowhere alleges that the credit on master cartons was availed with intention to eva ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... in present case is whether the master cartons which are cleared from the factory along with the goods but are used for packing at the depot can be considered to be used in or in relation to the manufacture of final products. In this regard I note that the depot has been defined as place of removal only with effect from 13-5-2003 and prior to that the place of removal was factory only. Since prior to 13-5-2003 the goods were packed in primary cartons and transported in that condition only, the master cartons cannot said to be used in or in relation to manufacture of the final product when the same were used at depots only. Accordingly, I hold that the credit in respect of these cartons will not be available prior to 13-5-2003. 6. Subseq ..... X X X X Extracts X X X X X X X X Extracts X X X X
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