TMI Blog2019 (7) TMI 250X X X X Extracts X X X X X X X X Extracts X X X X ..... nies availment of cenvat credit on imports of coal manufactured by the supplier of coal, as has been taken the basis in the Order-in-original, shall therefore be applicable for domestically manufactured goods only and not on the imported coal. Perusal of Excise notification No. 67 further reveal that no such condition is applicable in case of import of coal. Whether under Customs notification against S.No. 67 i.e. while importing the coal, the appellants were entitled to avail the cenvat credit on the amount of CVD paid? - HELD THAT:- The said rule itself clarifies that the cenvat credit of duty of excise is not allowed to be taken when paid on any goods specified under S.No. 67 and 128 of Excise Notification No. 12/2012 dated 17.3.2012. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... engaged in manufacture of cement clinker and cement and are availing the facility of cenvat credit on inputs, capital goods and input service. The appellants were consuming power generated from its captive power plant for manufacturing of their final products and coal was used as an input for the said plant. 2. During the period March, 2013 to June, 2013, the appellants were paying the Additional Duty of Customs (CVD) in terms of Section 3(1) of the Customs Tariff Act, 1975, on the import of aforesaid coal, the said CVD was paid at the rate of 1% / 2% after availing the benefit of Notification No. 12/2012-Cus dated 17.03.2012. Vide the impugned show cause notice, the said benefit was denied. Accordingly, the recovery of Cenv ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... rned Departmental Representative justified the orders. 6. After hearing both the parties and perusing the record, we are of the opinion as follows: It is admitted that the appellants have imported coal consequent thereto they have paid 1% / 2% on CVD in addition to Basic customs duty. The CVD has been paid at the said exempted rate taking the benefit of Sl. No. 123 of Customs Notification No. 12/2012-Cus dated 17.03.2012. It is apparent from the order in challenge that Department has denied the payment of CVD on exempted rate and the availment of cenvat credit thereupon relying upon the S.No. 67 of Excise Notification No. 12/2012 dated 17.03.2012. 7. Perusal of both these Notificat ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... reme Court in the case of SRF Ltd. vs. CC Chennai [2015 (318) ELT 607(SC)] has held that Excise Notification No. 12/2012 is applicable only in respect of any digged or manufactured coal and not in respect of imported coal. The import whereof is allowed to have exempted rate of CVD vide Customs Notification No. 12/2012 Cus. 9. In view of the entire above discussion, we are of the firm opinion that the adjudicating authority has committed a legal error while denying the benefit of reduced CVD on imported coal while placing reliance upon the Excise notification for manufacture of coal. Order is therefore, held not sustainable and accordingly, is hereby set aside. Resultantly, the appeal stands allowed. (Operative ..... X X X X Extracts X X X X X X X X Extracts X X X X
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