TMI Blog2017 (7) TMI 326X X X X Extracts X X X X X X X X Extracts X X X X ..... ocate For the Respondent : Mr. V K Agarwal, Addl. Commissioner (A.R.) ORDER Per: D N Panda Appellant's grievance is that before incorporation of sub-rule (3) to Rule 3 of CENVAT Credit Rules 2004, CENVAT credit availed on the written off goods shall not be liable to duty which is equivalent to CENVAT credit availed. 2. Appellant had written off certain inputs in 1997-2001, and says that in absence of a specific provision, the claim of availment of CENVAT credit thereon and not used in manufacture should not result in denial of CENVAT credit availed. It is the position of law as has been held in the judgment of the Hon'ble High Court of Bombay in Commissioner of Central Excise, Navi Mumbai v. Hindalco Indust ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Excise Rules, 2002 deals with a situation where the goods have been lost or destroyed by natural causes. A provision has been made in Rule 21 for the remission of duty payable on such goods. 5. The period involved in the present Appeal is prior to the insertion of sub-rules (5B) and (5C) in Rule 3. 6. In Commissioner of Central Excise v. Indian Petrochemicals Corporation Limited, 2008 (226) ELT 339 a Division Bench of this Court had noted that the Tribunal in a long line of judgments had taken the view that where the goods have been shown as written off goods, the benefit is available. In the present case, as already noted earlier, the period to which the dispute relates is prior to the insertion of sub-rules (5B) and (5C) in Ru ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... envat) credit taken on the inputs which are subsequently written off being obsolete or unfit for use. 2. The Audit Report for 1998-99 has pointed out a case involving Hyderabad-III Commissionerate where credit taken on inputs was not reversed although the inputs were written off by the assessee as being obsolete. The Department admitted the objection in accordance with policy decision conveyed vide Circular 101/12/95-CX, dated 22-2-95. 3. The Board observes that the subject matter of reversal of Modvat (Cenvat) credit in the event the Inputs/Capital Goods are written off/partially written off in the books of accounts is being raised often. Accordingly, the Board has examined the issue of admissibility of credit taken on written of ..... X X X X Extracts X X X X X X X X Extracts X X X X
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