TMI Blog2018 (7) TMI 251X X X X Extracts X X X X X X X X Extracts X X X X ..... d - appeal dismissed - decided against Revenue. - Appeal No. E/156/2009, CO-59/2009 - FO/76197/2018 - Dated:- 18-5-2018 - SHRI P.K. CHOUDHARY, MUMBER (JUDICIAL) And SHRI BIJAY KUMAR, MEMBER (TECHNICAL) Shri D.Haldar, AC(AR) for the Appellant (s) Shri H.Jajodia, CA for the Respondent (s) ORDER Per Shri P.K. Choudhary The respondent is a manufacturer of printing ink, paints and varnish, reducers, retarder etc. classifiable under Ch.32 38 of the CETA, 1985. Show Cause Notice was issued for alleged irregular availment of cenvat credit on the inputs namely reflex blue , diacetone alcohol , cyclohexanone etc. recived/procured from their other units on stock transfer basis. The adjudicating authority dropped the pr ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... the said semifinished product according to the demand of the customers of their respective regions. Similarly, different kinds of raw materials, purchased in bulk at one base factory, are also transferred to different matching centres and other base factories too on payment of appropriate Central Excise duty. It is the case of the Revenue that the Respondent assessee have contravened the provision of Rule 57AE(3) of the erstwhile Central Excise Rules, 1944 which subsequently changed to rule 7(4) of the Cenvat Credit Rules, 2001 read with Ministry of Finance s M.F.(D.R.)F.No.B-4/7/2000-TRU dated 03.04.2000 and have availed credit on the basis of stock transfer invoices and utilized the same towards payment of duty of their final products. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... requirement for grant of CENVAT credit, mode of acquisition of input is immaterial . 2.4 Learned Counsel also drew our attention to Notification No. 13/03 dated 1-3-2003 and submitted that entire difficulty in interpretation was obviated substituting the word procured in place of the word purchase in sub-rule (4) of Rule 7 of CENVAT Credit Rules, 2002. Therefore procurement is a requirement and use of input is another essential requirement to avail CENVAT credit and any construction contrary to that would defeat of spirit of CENVAT credit in absence of ultimate finding that Modvated input has not yielded revenue on clearance of finished goods. Xxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxxx xxxxxxxxxxxxxxxxxxxxxxx ..... X X X X Extracts X X X X X X X X Extracts X X X X
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