TMI Blog2019 (10) TMI 46X X X X Extracts X X X X X X X X Extracts X X X X ..... of limitation is not available to Revenue. Appeal allowed - decided in favor of appellant. - Excise Appeal No. 52559 of 2018-SM - FINAL ORDER NO. 51276/2019 - Dated:- 30-9-2019 - MR. ANIL CHOUDHARY, MEMBER (JUDICIAL) Ms. Sukriti Das, Advocate for the appellant Sh. P. R. Gupta, Authorised Representative for the respondent ORDER The issue in this appeal whether denial of input credit on the following services is proper. The appellant is engaged in the manufacture of Sponge Iron, M.S Billet, M.S. Wire Rod, Rib Bar etc., falling under Chapter Heading No. 72 of the First Schedule of the Central Excise Tariff Act, 1985 (CETA). 2. The books of accounts of the appe ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... e taxi do not have any nexus with the manufacture of finished and are not an input service in the larger scheme of things. The Department, was of the view that the appellant are not entitled to the benefit of credit and have wrongly availed it, culminating in the issuance of Show Cause Notice dated 04.04.2014 (SCN) wherein credit amounting ₹ 27,49,126/- was proposed to be denied along with imposition of penalty and recovery of interest. 7. Reply was filed by the appellant rebutting and refuting the allegations laid down in the Show Cause Notice. It was contended that the full amount of Service Tax has been paid on hiring of Air Craft and hired taxi and these services were essentially used in or in relation to the manufact ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Raipur, who vide impugned Order-in-Appeal recorded the following findings:- The Appellant has failed to produce supporting documents, evidencing, uses of these services in their manufacturing activity before the Adjudicating authority and the Appellate authority. The contention of the Appellant that the present case does not pertain to non-levy or short-payment of duty, therefore no interest is liable to be recovered, is an incorrect contention as Rule 14(ii) of the Credit Rules, allow for interest to be recovered on account of wrongful availment and untilisation of credit. It is on record that details of Cenvat Credit availed on Tour and Travels of Chartered Plane, Regular flight and Hired Taxi, ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... as held by Hon ble Gujarat High Court in the case of CCE, vs. Parth Poly Wooven Pvt. Ltd., -2012 (25) STR 4 (Guj.). 15. learned Counsel further urges that disallowance of service tax paid on chartering of aircraft for travel by Director, is also erroneous involving input credit of ₹ 27,32,505/-, holding that the same is of personal nature having no nexus with the manufacturing activities. It is urged that the Director, Senior Executive and employees / Engineers due to exigency of business, have to travel at short notice to sustain the manufacturing activity and also improve the business and profitability. Thus, travel is an essential part related to manufacture and clearance of dutiable final products. Denial of credi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... or the Revenue have relied upon the impugned order. 20. Having considering the rival contentions and after perusal of record, I find that the show cause notice is issued pursuant to audit and issue of audit report FAR No. 196/C.Ex./2010-11 and further FAR No. 324/CX/2010-11 relating to the period April, 2009 to May, 2011. Admittedly, the transactions are properly backed by invoices and recorded in the ordinary course of business. Admittedly, the statutory returns have been regularly filed. There is no case of misdeclaration in the returns. Thus, I hold that in the absence of conditions like suppression of facts or contumacious conduct, extended period of limitation is not available to Revenue. 21. Thus, the appeal ..... X X X X Extracts X X X X X X X X Extracts X X X X
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