TMI Blog2018 (1) TMI 412X X X X Extracts X X X X X X X X Extracts X X X X ..... d on payment of duty. When this fact was in the knowledge of department, then the show cause notice was not required to be issued to the appellant. Admittedly, in this case, the appellant has not claimed refund of duty paid by them as refurbished goods. The goods in question do not amount to manufacture but the same has been cleared on payment of duty. Therefore, the duty payment made by the ap ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... it on the same as capital goods which has been cleared by them after refurbishing, on payment of duty. The case of the Revenue is that as the appellant is engaged in the manufacture of Cosmetics and Toiletries and the said scrap purchased from Hindustan Unilever Limited is not capital goods for them. Therefore, proceedings were initiated against the appellant for reversal of Cenvat credit, consequ ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the appellant is not sustainable. 4. On the other hand, ld. AR opposed the contention of the ld. Consultant and submits that, as the scrap purchased by them in E. Auction is not capital goods and the same was not used in the activity of manufacturing of their finished goods and therefore, they are not entitled to avail Cenvat credit. He fairly admits that although the appellant has paid duty o ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... in it has been held that if the activity does not amount to manufacture and the goods are cleared on payment of duty, the duty payment shall amount to reversal of Cenvat credit. Admittedly, in this case, the appellant has not claimed refund of duty paid by them as refurbished goods. The goods in question do not amount to manufacture but the same has been cleared on payment of duty. Therefore, the ..... X X X X Extracts X X X X X X X X Extracts X X X X
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