TMI Blog2018 (11) TMI 909X X X X Extracts X X X X X X X X Extracts X X X X ..... ices. Further, there is a bar for taking credit of input used in the manufacture of final product. Further, as per Rule 3 of CCR, 2004 read with definition of “Provider of Taxable Service”, there is no bar to take CENVAT credit of service Tax during the period assessee is availing small-scale exemption under Central Excise Act. In the Notification, it is provided that the manufacturer shall not ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... al Excise Registration Number AAFN4802JXM001, is a manufacturer of excisable goods viz., Cement Concrete Blocks falling under chapter subheading 68101190 of the schedule to the Central Excise Tariff Act, 1985. They are a SSI unit availing benefit of full exemption under Notification No. 8/2003-CE dated 01.03.2003. During the course of audit on the records of the assessee by the Internal Audit Part ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... should not be imposed and collected in terms of Section 11AC and 11AB respectively read with Rule 14 and 15(2) of CENVAT Credit Rules, 2004. Following the principle of natural justice, original authority has confirmed the demand as proposed in SCN and also imposed penalty of ₹ 1,16,180/- under Section 11AC and demanded interest under Section 11AB of Central Excise Act, 1944 read with Rule 14 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ty on inputs used in the manufacture of the specified goods cleared for home consumption while availing SSI exemption up to Rupees one hundred and fifty lakhs aggregate value of clearances. He further submitted that it is not so stipulated for availing the credit of tax on input service used during such period. He further submitted that audit objection raised was without any basis. 4. On the ot ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... hat in the Notification, it is provided that the manufacturer shall not avail the credit of duty under Rule 3 or Rule 11 of CCR, 2002 on inputs used in the manufacture of specified goods. Further, I do not find any reference to input services in the Notification, and that being the case, I am of the considered view that the CENVAT could not have been denied to the appellant. Consequently, in view ..... X X X X Extracts X X X X X X X X Extracts X X X X
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