TMI Blog2017 (1) TMI 231X X X X Extracts X X X X X X X X Extracts X X X X ..... - 9-12-2016 - Dr. Satish Chandra, President And Mr. V. Padmanabhan, Technical Member Shri P. K. Sahu with Shri Prasahnt Shukla, Advocates for the appellants Shri Amresh Jain, A.R. for the Resopondent-Revenue ORDER Per V. Padmanabhan Since the issue involved in both the above appeals is the same we propose to dispose of the appeals through this common order. 2. The appellant is engaged in production of sugar and molasses in its manufacturing units located in UP. It was paying excise duty on sugar and molasses after utilizing cenvat credit on inputs/input services. In the process of manufacturing sugar and molasses, bagasse has been produced. A part of such baggase is consumed captively for generation of electricity ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ttributable to manufacturing of non-dutiable goods. He has relied upon the Circular No.904/24/2009-CX dated 28.10.2009 to hold that bagasse is marketability commodity. 6. With this background, we have Shri P.K. Sahu, ld. Advocate for the appellants and Shri Amresh Jain, ld. A.R. for Revenue. 7. The submission of the appellant is that the issue stands settled for the period upto 1.3.2013. From 1.4.2008 Rule 6(3) of the Cenvat Credit Rules, 2004 has provided for proportionate reversal of cenvat credit attributable to input and input services in or in relation to manufacture of exempted product. This option stands extended in the Rule in addition to option of payment of an amount equal to 5% of the value of the exempted goods. The appell ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the option, however the delay can be taken as procedural lapse. We also note that trading of goods was considered as exempted service from 2011 only, thus it was initial period. We are also of the view that there is no condition provided in the rule that if a particular option, out of three options are not opted, then only option of payment of 5% provided under Rule 6(3)(i) shall be compulsorily made applicable, therefore we are of the view that Revenue could not insist the appellant to avail a particular option. In the present case admittedly it is appellant who have on their own opted for option provided under Rule 6(3)(ii). The meaning of the option as argued by the Ld. Sr. Counsel is that option of right of choosing, something that may ..... X X X X Extracts X X X X X X X X Extracts X X X X
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