9911796707
TMI Blog2019 (5) TMI 1014X X X X Extracts X X X X X X X X Extracts X X X X ..... Act 1944. 2. Factual backdrop of the case is that respondent M/s IFB Industries Ltd. has been engaged in manufacturing of excisable goods like washing machine, industrial dishwasher as well as trading of those goods. It had availed CENVAT credit by way of maintenance of separate account for common input services used in respect of dutiable goods and exempted services under Rule 6(3A) of CENVAT Credit Rules, 2004 but allegedly adopted wrong formula which is not in conformity to 6(3)(iii)(3) of the pre-amended CENVAT Credit Rules, 2004 prevailing at the relevant period pertaining to respondent's transaction period from 2012-13 to 2014-15. EA-2000 Audit pointed out the same and for the financial year 2011-12, appellant re-calculated as well ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... alafide intention for which the order of the Commissioner (Appeals) is liable to be set aside. 4. In response to such submissions and by way of cross objection, learned Advocate for the respondent Shri Pulak Kumar Saha with Shri Manish Jalan submitted that it had reversed the amount on CENVAT credit taken on common input services proportionately instead of total input services which was the correct procedure followed by the respondent inconformity to Rule 6(3)(iii)(3) and it availed the credit only on such portion of input and input services used in providing taxable goods/services and confusion as well as dispute had arisen due to faulty description of the formula prescribed in Rule 6(3A)(C)(iii) which is (M/N) * P, where M denotes total ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... t necessitated passing of the Constitution (Forty Sixth Amendment) Act, 1982 and going by its Statement of Objects and Reasons, it can be ascertained that in conformity to the judgment of Hon'ble Supreme Court passed in Ganon Dunkerley's case (AIR) 1958 SC 560 whereby the sale of goods as used in entry of the 7th schedule to the constitution was treated to have carried the same meaning as in the Sale of Goods Act, 1930, coupled with subsequent decisions of the Hon'ble Supreme Court were the prelude to passage of such an Amendment Act that suitably amended tax on the sale or purchase of goods and included the same in Article 366 of the Constitution of India under a new Article (29A). 5.2 On the other hand "Service" as defined under ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ly ensure that no amount, which under the central excise law is chargeable as duty, escapes taxation and the process of verification is always carried out in the presence of assessee and in the process, the auditor is required to discuss the matter with the assessee and advice him to follow correct procedure in future. It is also referred in the said manual that after such submission of audit report, in cases where the disputed amount have not already been paid by the assessee at the spot, demand notices are issued by the department for their recoveries. EA 2000 audit was therefore held to be participative audit. Likewise CERA audit is conducted by the Comptroller and Auditor General of India in respect of receipt and expenditure of the Gov ..... X X X X Extracts X X X X X X X X Extracts X X X X
|
