TMI Blog2017 (6) TMI 267X X X X Extracts X X X X X X X X Extracts X X X X ..... excise duty is paid even on the non-excisable goods, the CENVAT Credit should be allowed. Similar issue decided in the case of MARKFED HDPE SACKS PLANT Versus COMMISSIONER OF C. EX., LUDHIANA [2011 (4) TMI 984 - CESTAT, NEW DELHI], where it was held that the assessee is required to pay amount equal to credit availed by them u/r 16(2). Consequently, the CENVAT Credit was admissible. Appeal allowed - decided in favor of appellant. - E/1445/09 - A/87620/17/SMB - Dated:- 30-5-2017 - Shri Ramesh Nair, Member (Judicial) Shri R.V. Shetty, Advocate for Appellant Shri N.N. Prabhudesai, Supdt. (AR) for Respondent ORDER Per: Ramesh Nair The fact of the case is that the appellants were engaged in the purchasing of du ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e duty paid goods and even if the activity does not amount to manufacture, the credit is permissible only on the condition that the assessee clears such goods on payment of duty equal to the CENVAT Credit in case activity does not amount to manufacture and in case of the activity being manufacture the clearance of the said goods should be made on payment of duty on the transaction value. In support of the submissions, he placed reliance on the following judgments: - (a) Stumpp Schedule Somappa Ltd. Vs. Commissioner of Central Excise, Bangalore-I - 2005 (191) ELT 1085 (Tri-Bang) (b) Shivali Udyog (I) Ltd. Vs. Commissioner of Central Excise, Nagpur - 2006 (204) ELT 94 (Tri-Del) (c) Commissioner of Central Excise, Pune-I Vs. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... se duty is paid even on the non-excisable goods, the CENVAT Credit should be allowed. Moreover, as per Rule 16 even if the activity does not amount to manufacture the CENVAT Credit is admissible on the duty paid goods subject to condition that at the time of clearance of the same, excise duty equal to CENVAT Credit availed is paid. This fact is not in dispute as the appellant paid more duty than the CENVAT Credit availed. The ratio of the judgment relied upon by the learned Counsel is applicable to the facts of the present case. 4.1 As regards judgments relied upon by the learned AR in case of Bombay Burmah Trading Corpn. (supra) , the issue was not regarding the availment of CENVAT Credit by the assessee, who was working under Rule 1 ..... X X X X Extracts X X X X X X X X Extracts X X X X
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