9911796707
TMI Blog2018 (12) TMI 159X X X X Extracts X X X X X X X X Extracts X X X X ..... scented supari manufactured by them with Retail Sales Price (RSP) not exceeding 50 paisa per package at "nil" rate of duty. At the same time, the same goods with RSP more than 50 paisa were cleared on payment of applicable excise duty. These rates are specified in Notification No.25/2006-CE dated 20.03.2006. During the period under dispute, the appellant was also availing cenvat credit on various goods including packing materials. The credit on such packing materials was availed, but such packing materials were used for both the dutiable as well as exempted goods. The Department was of the view that in terms of Rule 6 (3) of Cenvat Credit Rules, 2004, the appellant was required to pay an amount at the rate of 10% of the value of the exempt ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ld.Advocate further submitted that such amendments were made in the Statute after filing of the appeal in the present case. He further submitted that the amount of cenvat credit attributable to the inputs used in the manufacture of exempted scented supari, which are RSP 50 paisa, worked out to Rs. 3,89,002/-. Such amount has already been reversed by the appellant on 27.11.2008. Finally, he submitted that the amount already reversed would be sufficient to cover the demand arrived on the basis of the retrospective amendment. Hence, he submitted that there was no justification for demand of Rs. 59.52 lakhs. 6. The ld.D.R. has fairly conceded that the Cenvat Credit Rules have been amended through Section 73 of the Finance Act, 2010. The prese ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... envat Credit has been availed on packing materials used commonly for both types of scented supari. In terms of provisions of Rule 6 (3), the appellant will have the liability of paying amount at the rate of 10% of the value of exempted products. The provisions have been amended subsequent to the period of dispute giving an option to the assessee to reverse the cenvat credit attributable only to the exempted products. This option was also extended to the period prior to such amendment through Section 73 of the Finance Act, 2010. After considering the period specified, we note that the present dispute was relating to date specified in such Section. 10. It has been submitted on behalf of the appellant that the demand for an amount of Rs. 59.5 ..... X X X X Extracts X X X X X X X X Extracts X X X X
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