TMI Blog2015 (6) TMI 1077X X X X Extracts X X X X X X X X Extracts X X X X ..... ntral excise duty, the inputs and capital goods used/utilized for manufacture of the final product will be eligible for cenvat credit. Rule 3 of the Cenvat Credit Rules only specifies that the duty paid capital goods received in the factory of manufacture of final product will be eligible for availment of cenvat credit. There is no restriction contained in the said Rule that the capital goods used in the factory under construction situated within the common factory shall not be eligible for cenvat credit. Further, sub-rule (4) of Rule 3 of Cenvat Credit Rules permits the manufacturer to utilize cenvat credit on payment of duty of excise on any final product manufactured by him. On a close reading of Rule 3 and Rule 4 of the said rule ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... dated 27.11.2008, wherein cenvat credit of ₹ 22,09,920/- was denied and equal amount of penalty was imposed on the appellant. The appeal filed against the said adjudication order was dismissed vide the impugned order. Hence, the present appeal is before this Tribunal. 2. Heard the ld. Counsel for both sides and perused the records. 3. The short question involved in this appeal is as to whether cenvat credit can be taken by the appellant for the capital goods relates to some other plant, which was not operational at the material time and that the Cenvat Credit attributable to the capital goods of such other plant (Ethanol Plant) can be used for removal of sugar and molasses from the factory of the appellant. 4. The ld. Ad ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ld. Counsels and perused the records. 7. It is not in dispute that the plant facilities, such as sugar molasses and Ethanol are situated within the same factory premises of the appellant and the factory as a whole has been registered under the Central Excise statute. Since the above final products are subjected to levy of central excise duty, the inputs and capital goods used/utilized for manufacture of the final product will be eligible for cenvat credit. Rule 3 of the Cenvat Credit Rules only specifies that the duty paid capital goods received in the factory of manufacture of final product will be eligible for availment of cenvat credit. There is no restriction contained in the said Rule that the capital goods used in the factory ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
